Borrowing Report Forecasts Oil Lending Bloodbath

By Keith Goldberg (April 1, 2020, 5:30 PM EDT) -- Drillers are facing major cuts in their ability to borrow money from banks amid a historic crash in oil prices, according to a Haynes and Boone LLP report released Wednesday, a development that could drive many producers into bankruptcy.

Lenders this spring are poised to redetermine the borrowing bases for reserve-based loans taken out by oil and gas producers. Those loans, a staple of energy industry lending, are based on a company's total reserves and the price of oil and are usually revised twice a year.

In the law firm's survey of oil and gas industry players that include producers, banks and...

Stay ahead of the curve

In the legal profession, information is the key to success. You have to know what’s happening with clients, competitors, practice areas, and industries. Law360 provides the intelligence you need to remain an expert and beat the competition.

  • Access to case data within articles (numbers, filings, courts, nature of suit, and more.)
  • Access to attached documents such as briefs, petitions, complaints, decisions, motions, etc.
  • Create custom alerts for specific article and case topics and so much more!


Attached Documents

Related Sections

Law Firms

Hello! I'm Law360's automated support bot.

How can I help you today?

For example, you can type:
  • I forgot my password
  • I took a free trial but didn't get a verification email
  • How do I sign up for a newsletter?
Ask a question!