Bad Moon Rising - Diversified E&Ps Rebalancing Portfolios to Crude Oil as Natural Gas Revenues Sink

RBN Energy Blogcast

The recent bankruptcy filing by Tupperware, once a staple of nearly every kitchen, is yet another reminder that long-term corporate success depends on managing through the ever-changing business environment. Many blogs have been written about the ultimate impact on oil and gas producers of the decades-long shift to lower-carbon energy sources, but E&Ps face short-term challenges as well, one of which is the recent plunge in natural gas prices. In today’s RBN blog, we analyze the effect of lower gas prices on the revenues, cash flows, investment, leverage and cash allocation of producers with a rough balance of oil and gas production and discuss how these Diversified producers are adapting.