Strong Hedging Protections Roll Off, IHS Says

Some good stuff from IHS:

http://press.ihs.com/press-release/energy-power-media/north-american-oil-and-gas-companies-face-difficult-year-2016-stron

“As oil prices continue to decline, North American exploration and production (E&Ps) companies have hedged just 15 percent of their total production volumes for 2016, including 14 percent of oil and 18 percent of natural gas, leaving the companies largely exposed to current depressed market prices, according to new analysis from IHS (NYSE: IHS), the leading global source of critical information and insight.

According to the IHS Energy Comparative Peer Group Analysis of North American E&Ps, production hedging for the group of 51 companies studied will fall even more significantly in 2017, when just 4 percent of total production will be hedged, including only 2 percent of oil and 7 percent of gas, IHS said.”