Q1 more than 100 global oil companies write down US$92 billion

In recent news, more than 100 oil and gas companies around the world have written down a total of US$92 billion in assets in the first quarter of 2020.

　　 According to a new report from the U.S. Energy Information Administration (EIA), the report focuses on the financial and operational trends of 102 energy companies. The report outlines that this is the highest number since the fourth quarter of 2015.

　　 The report shows that these companies increased short-term and long-term borrowing in the first quarter, and debt increased by $55 billion during the same period. It is said that this is the highest value in all quarters from 2015 to 2020.

　　 According to the report, less than 50% of companies had positive free cash flow in the first quarter, compared with more than 60% in the fourth quarter of last year. Operating cash expenditures in the first quarter decreased by 25% compared with the first quarter of 2019, and capital expenditures decreased by 9% compared with the first quarter of 2019.

　　 The report pointed out that the price of crude oil in the first quarter fell by 20% compared with the first quarter of 2019, and the price of natural gas fell by 35% in the same period. From the first quarter of 2019 to the first quarter of 2020, the combined liquid production of 102 companies increased by 3.7%, and natural gas production decreased by 0.1%.

　　The data in the report comes from the public financial statements issued by each company. The companies mentioned in the report include BP, Chevron, ConocoPhillips, Eni Group, Exxon Mobil Corporation, Royal Dutch Shell and Total.