Oilfield Hopes Remain Thin Despite $2B In Oil And Gas Producer Financings

A flurry of stock sale financings by oil and gas producers in Canada has sparked optimism among investors that the stalled drilling industry will soon go back to work.

But analysts warn that’s not likely to happen this year, dashing faint hopes of thousands of Western Canadian oilfield workers who have been laid off since benchmark oil prices peaked at over $107 US per barrel two years ago in June 2014.

Since January, nearly $2 billion has been raised by Canadian non-oilsands producers on equity markets, but most of it has been geared to paying down debt or funding acquisitions, not for drilling new wells, according to a recent report from AltaCorp Capital

https://oilguru.org/2016/06/18/oilfield-hopes-remain-thin-despite-2b-in-oil-and-gas-producer-financings/