Oil company California Resources Corp. skipped an interest payment to lenders and could file for bankruptcy as soon as next week, the Wall Street Journal reported. The Los Angeles-based oil driller said yesterday that it has entered into an agreement with a majority of its senior lenders to wait until Sunday before they can declare a default. California Resources failed to make a $30 million payment to lenders last month. Without another extension from the lenders and other creditors, California Resources will file for bankruptcy by this weekend. Like many other U.S. oil producers, California Resources, created in 2014 as a spinoff of Occidental Petroleum Corp., has been struggling with a drop in commodity prices due to the coronavirus pandemic. California Resources is primarily a conventional driller of oil and gas, although it also operates some acreage in the Monterey shale. It generated roughly $2.6 billion of revenue in 2019 and finished the year with approximately 1,250 employees. Read more. (Subscription required.)
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