Energy

Moody's Reviews 69 American Energy Companies for Downgrade

Douglas A. McIntyre

Published: January 22, 2016 6:47 am

Last Updated: January 13, 2020 2:44 pm

The energy crisis is so bad that Moody’s has put 69 U.S. companies on its list of potential downgrades.

The credit research firm’s experts wrote:

Today’s review for downgrade considers that much weaker industry fundamentals have potential to warrant rating changes for all companies covered in this press release. While this review focuses on companies rated in the range from A1 to B3, Moody’s is also reevaluating higher and lower rated companies in the context of industry conditions. The higher rated companies on average are somewhat more resilient to low oil prices and Moody’s has recently downgraded many of the lower rated companies.

Presumably some of these companies will need to raise capital if they either want to stay in business or consider operating independently.

The reviews should be done by the end of the current quarter.

The list:

The principal methodology used in rating Approach Resources Inc., Bill Barrett Corp, Bonanza Creek Energy, Inc., Breitburn Energy Partners L.P., Carrizo Oil & Gas, Inc., Chaparral Energy, Inc., Chesapeake Energy Corporation, Clayton Williams Energy, Inc., CrownRock, L.P., Diamondback Energy, Inc., Endeavor Energy Resources, L.P., EV Energy Partners, L.P., Fieldwood Energy LLC, Gulfport Energy Corporation, Jonah Energy LLC, Jones Energy Holdings, LLC, Laredo Petroleum, Inc., Legacy Reserves LP, Matador Resources Company, Memorial Production Partners LP, Memorial Resource Development Corp., Northern Oil and Gas, Inc, Oasis Petroleum Inc, Parsley Energy LLC, PDC Energy, Resolute Energy Corporation, Rice Energy Inc., RSP Permian, Inc., Sanchez Energy Corporation, Stone Energy Corporation, Talos Production LLC, Templar Energy, LLC, Vanguard Natural Resources, LLC, Vine Oil & Gas, LP, and W&T Offshore, Inc. was Global Independent Exploration and Production Industry published in December 2011. The principal methodology used in rating Atwood Oceanics, Inc., Bristow Group Inc., Cactus Wellhead LLC, CJ Holding Co., Compressco Partners, L.P., Diamond Offshore Drilling, Inc., ENSCO International Incorporated, Ensco plc, Era Group Inc., FMC Technologies, Inc., Forum Energy Technologies, Inc., GulfMark Offshore, Inc., HGIM CORP., Hornbeck Offshore Services, Inc., Light Tower Rentals, Inc., Nabors Industries Inc., National Oilwell Varco, Inc., Noble Corporation (Cayman Island), Noble Drilling Corporation, Noble Holding International Limited, Oceaneering International, Inc., Parker Drilling Company, PHI, Inc., Pioneer Energy Services Corp., Pride International, Inc., Prowler Acquisition Corp, Rowan Companies, Inc., Schlumberger Holdings Corporation, SEACOR Holdings Inc., SESI, L.L.C., Transocean Inc., UTEX Industries, Inc., Weatherford International Ltd. (Bermuda), and Weatherford International, LLC (Delaware) was Global Oilfield Services Industry Rating Methodology published in December 2014.