Whiting collapse is shape of things to come
The Denver-based shale company’s bankruptcy notice is likely to be the first of many among US producers
The collapse of the Opec+ agreement and the demand destruction caused by the Covid-19 pandemic looks set to push many US oil and gas producers over the edge in the coming weeks and months. Benchmark WTI crude was trading c.$20/bl in early April, below production costs at most US shale wells. As a result, the industry is likely to be hit by a wave of bankruptcies. Denver-based Whiting Petroleum has been the first to go under, filing for Chapter 11 bankruptcy on 1 April, just days after drawing down $650mn from its credit facility. The company announced on 16 March that it was slashing capex for 2020 by 30pc, with spending falling from $585-620mn as planned in February’s budget to a revised $4
Also in this section
24 December 2025
As activity in the US Gulf has stagnated at a lower level, the government is taking steps to encourage fresh exploration and bolster field development work
23 December 2025
The new government has brought stability and security to the country, with the door now open to international investment
23 December 2025
A third wave of LNG supply is coming, and with it a likely oversupply of the fuel by 2028
22 December 2025
Weakening climate resolve in the developed world and rapidly growing demand in developing countries means peak oil is still a long way away
