On Monday, Fitch Ratings commented that the coronavirus pandemic has rendered a sizable amount of bankruptcies in the energy sector.
In the early period of the pandemic, weak oil and gas demand drove low energy prices which brought high bankruptcy filings. The condition then was worsened by the length of the pandemic-related demand flop for gasoline and aircraft fuels.
Some companies which had been struggling prior to the pandemic then found new problems to refinance or repay the coming maturities, the agency added.
On April 22, 2020, the benchmark Brent saw its price plummeted lower than USD16/barrel, shortly after global quarantine measures. Nowadays, due to rapid vaccination and normalization worldwide which increased global oil demand, Brent crude price soared even touching USD77/barrel.
