Shale Drillers Aren’t As Safe As You May Think

It’s been the main headwind for OPEC’s oil output cut deal.
Rising shale oil production in the U.S. has been making headlines
for almost a year now. While initially the trend was met with
understandable enthusiasm by lenders exposed to the industry, now
both banks and analysts are beginning to worry about a repeat of
what happened in 2014 and 2015 to shale oil, when unsustainable
debt levels sank a lot of companies in the field. CNBC’s Tom
DiChristopher reports that the average debt level of 38 U.S.
drillers has fallen from…

It’s been the main headwind for OPEC’s oil output cut deal.
Rising shale oil production in the U.S. has been making headlines
for almost a year now. While initially the trend was met with
understandable enthusiasm by lenders exposed to the industry, now
both banks and analysts are beginning to worry about a repeat of
what happened in 2014 and 2015 to shale oil, when unsustainable
debt levels sank a lot of companies in the field. CNBC’s Tom
DiChristopher reports that the average debt level of 38 U.S.
drillers has fallen from…