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Oasis Petroleum Misses Debt Payments After Bankruptcy Warning

Sept. 17, 2020, 8:53 PM

Oasis Petroleum Inc. skipped payments due Sept. 15 on some of its debt, becoming the latest oil and gas producer to flirt with bankruptcy amid a prolonged price slump.

The company owed interest on $244.8 million of convertible notes and $834.5 million of unsecured notes maturing in 2022, according to Bloomberg data. Oasis Petroleum has 30 days to make good on the missed payments before a formal default.

A representative for Houston-based Oasis didn’t immediately respond to a request for comment.

Led by Chief Executive Officer Thomas B. Nusz, Oasis has failed to post an annual net profit since 2017. The company previously warned in a quarterly filing that it may need Chapter 11 court protection if it can’t refinance its debt. Oasis is in danger of breaching a covenant on its credit facility, and has been working with advisers to explore alternatives.

Oasis counted 609 employees in its most recent annual report and listed $2.76 billion of long-term debt in its midyear filing.

Oil and gas bankruptcies have accelerated this year as the coronavirus slows the economy and tamps demand. At least 36 companies have sought Chapter 11 protection in the first three quarters of 2020, according to a report from law firm Haynes and Boone LP. More than 240 producers have filed for bankruptcy since 2015.

To contact the reporter on this story:
Allison McNeely in New York at

To contact the editors responsible for this story:
Rick Green at

Dawn McCarty

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