Kelli Norfleet in Reuters: Oil Service Firms Eye New Survival Tactics Amid Weak U.S. Market


Reuters talked with Haynes and Boone, LLP Partner Kelli Norfleet about how oilfield service companies are preparing to weather the warnings of a looming oil glut.

Here is an excerpt:


Profits for service companies that added people and equipment following the 2015-2016 oil price collapse also have suffered. Oilfield equipment utilization fell nearly 13 points and profitability tumbled 26 points versus the previous quarter, according a June survey by the Dallas Federal Reserve bank. Its survey polled 60 oilfield service companies in Texas, New Mexico and Louisiana.

“If a much-needed transaction doesn’t happen, service companies will have to look at refinancing or entering into out of court agreements with debt-holders, or filing bankruptcy,” said Kelli Norfleet, a restructuring partner at law firm Haynes and Boone.

To read the full article, click here.

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