The U.S. Energy Information Administration | The EIA estimates crude oil production in three of the country’s most important oil producing regions will decline for the first time since the agency first began publishing its monthly Drilling Productivity Report in October 2013.
Budgets of oil states are going to be hard hit by the recent slide in oil prices. Measured in dollars, Texas is the clear loser, but in terms of actual on-the-ground impacts, it’s not quite so simple. In the country’s number two oil producing state, North Dakota, falling prices have barely caused a ripple, while in Alaska (ranked fourth), lawmakers are calling it a “fiscal apocalypse.”
We wanted to find out if the increasing debt load of many oil companies is making them more vulnerable to sliding oil prices. Understanding how debt plays into the web of a company’s finances was a beast – nay, a monster – we faced with only financial documents to protect us.