About nine in 10 U.S. shale companies are tremendously overspending, according to new analysis by Rystad Energy. Just about 10 percent of U.S. shale companies had a positive cash flow in the first quarter of 2019, meaning the majority of companies are burning through cash, according to energy research firm Rystad Energy. After studying the financial performance of 40 U.S. shale companies, Rystad found just four reported a positive cash flow balance in 1Q 2019. This is down from the recent norm of 20 percent. Total S.A. saw its cash flow from operating activities (CFO) fall from $14 billion in 4Q 2018 to $9.9 billion in 1Q 2019. “That is the lowest CFO we have seen since the fourth quarter of 2017,” said Alisa Lukash, senior analyst on Rystad Energy’s North American Shale team. “The gap between CAPEX and CFO has reached a staggering $4.7 billion. This implies tremendous […]