1. Shale bust is here – Shale wells decline somewhere between 70 and 90 percent from their initial peak within 3 years, with the bulk of that decline coming within the first 12 months. – As a result, the pause in drilling quickly translates into U.S. oil production declines. – “We just have no new drilling and these decline curves are going to catch up,” Mark Rossano, founder and chief executive officer of private-equity firm C6 Capital Holdings LLC, told Bloomberg. “That hits really fast when you’re not looking at new production.” – With no drilling at all, U.S. shale oil production would theoretically fall by more than a third to less than 5 mb/d by the end of the year. 2. Bankruptcies to spike – Between 2015 and 2019, there were roughly 200 bankruptcies in the North American oil and gas sector. – Through April of this year, […]