Mnuchin of the United States is considering a loan program for struggling oil companies: Bloomberg News By Reuters


© Reuters. Secretary of the Treasury Steven Mnuchin speaks during the daily briefing of the coronavirus task force at the White House in Washington

(Reuters) – Treasury Secretary Steven Mnuchin said he is considering a government loan program for US oil companies seeking federal help as they face devastating price cuts, said Bloomberg News reported on Thursday.

Oil prices have fallen as demand has declined due to blockages during the coronavirus pandemic.

“One of the things we’re looking at is providing a lending facility to the industry. We are looking at many different options and we haven’t come to any conclusions, “Mnuchin told Bloomberg News in an https: // interview.

Oil futures collapsed to trade in negative territory for the first time in history Monday, as desperate traders paid to get rid of barrels amid lack of storage space .

Energy Secretary Dan Brouillette told Reuters last week that he was working with Mnuchin to roughly double the maximum size of loans to mid-sized US energy companies as part of the recent stimulus package. CARES Act passed to reach $ 200 million to $ 250 million.

Falling oil prices have prompted shale companies to cut spending and halt drilling.

President Donald Trump said on Tuesday that he had asked his cabinet to come up with a plan to inject money into the US oil drilling industry.

Warning: Fusion Media would like to remind you that the data contained on this site is not necessarily in real time or exact. All CFDs (stocks, indices, futures) and Forex prices are not provided by stock exchanges but rather by market makers, and therefore prices may not be precise and may differ from the actual market price, which means that the prices are indicative and are not suitable for trading purposes. Therefore, Fusion Media assumes no responsibility for any business losses you may suffer as a result of the use of this data.

Fusion Media or anyone involved with Fusion Media will not accept responsibility for loss or damage resulting from reliance on information, including data, quotes, charts and buy / sell signals contained on this website. Please be fully aware of the risks and costs associated with trading in the financial markets, this is one of the riskiest forms of investing possible.


Please enter your comment!
Please enter your name here