US oil output set to plummet as shale producers struggle with debt
London
AS MUCH as 400,000 barrels a day of oil production is at risk as US shale companies like Samson Resources Co run out of money and are forced to slow drilling.
Total debt for half of the companies in a Bloomberg index of more than 60 producers has risen to a level that represents 40 per cent of their enterprise value. It's a sign of distress that shows equity values falling in the face of oil's crash, said Rob Thummel at Tortoise Capital Advisors.
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