WASHINGTON (Sputnik) — The United States has seen 38 defaults in the first nine months of 2015, 14 of which in the oil and gas industry, according to Moody’s. In 2014, only two US companies defaulted.
"The rating agency expects the default rate will climb to a four-year high of 3.8 percentage in October 2016 after rising for the first time in three years in 2015," the press release stated.
"Oilfield services liquidity is weakening and default risk is growing as new drilling activity slows and production at existing rigs declines," the press release said.
23 September 2015, 12:15 GMT
Moody’s noted that the US speculative-grade default rate went up from 2.1 to 2.5 percent in the third quarter of 2015.
Global oil prices have halved compared to the summer of 2014 levels, when the price of Brent crude stood at about $115 per barrel. At present, oil prices are hovering around $50 per barrel.
On October 23, Moody’s lowered its 2016 oil price assumption to $53 per barrel from the originally expected $57.
