The company revenue in the first quarter fell to $4.2 billion, a 40 per cent decline from the first quarter of 2015. That’s in line with the average analyst estimate of $4.2 billion.

U.S. Rig Count is down 9 rigs from last week to 431, with oil rigs down 8 to 343, and gas rigs down 1 to 88. Canadian Rig Count remains unchanged at 40, with oil rigs up 2 to 12, and gas rigs down 3 to 27.

“The one hope is that earnings bounce back and company cash flows [improve],” Mr Caprio added. “If that doesn’t happen, [companies] will have debt to pay off and it is unclear how they’ll pay it.”

U.S. Rig Count is down 3 rigs from last week to 440, with oil rigs down 3 to 351, and gas rigs remain unchanged at 89. Canadian Rig Count is down 1 rig from last week to 40, with oil rigs up 2 to 10, and gas rigs down 3 to 30.

"Everybody is trying to get a big stake in India--it is the biggest growing market in Asia," said Amrita Sen, chief oil analyst at London-based consultancy Energy Aspects.

“We remain committed to our strategic investment in Rosneft,” Scott Dean, a company spokesman, said by e-mail, adding that BP complies with all relevant European and U.S. sanctions. “In the low oil-price environment, Rosneft continues to deliver solid operational and financial performance, demonstrating the resilience of its business model.”

“Our goal is to sell LNG,” she said. “We’re happy to help local developers by investing in infrastructure if it helps the market grow.”

Lenders including JPMorgan Chase & Co., Wells Fargo & Co. and Bank of America Corp. are setting aside more money to cover potential loan losses after crude prices fell 61 percent in less than two years.

Crude oil production in May from the seven major US shale regions is expected to fall 114,000 b/d month-over-month to 4.84 million b/d, according to the US Energy Information Administration’s latest Drilling Productivity Report (DPR).

China National Offshore Oil Corp. towed the rig, known as HYSY 981, into a disputed area of the South China Sea in May 2014, triggering an uproar in Vietnam. Anti-Chinese riots broke out in several parts of the country while Chinese and Vietnamese coast-guard and fishing vessels stood off against each other at sea.

The squeeze puts further pressure on the shale industry to sell assets, cut jobs and drilling and shrink capital spending. It also raises the risk that more companies will tip into bankruptcy.

The world's top crude oil exporter asked banks for a loan worth between $6 billion and $8 billion that would run for five years, sources told Reuters last month, as the kingdom seeks to plug a record budget deficit caused by low oil prices.

Crude output from Cepu more than tripled throughout 2015 from around 40,000 bpd in 2014, hitting around 130,000 bpd in December when Exxon commenced operation of the project's central processing facility.

Chevron Corp. and Royal Dutch Shell Plc had their ratings reduced by one level, while Total SA’s was cut two steps, according to statements by the New York-based rating company on Friday. Chevron will generate negative cash flow amid rising debt for at least the next two years, while Shell will have elevated leverage following its acquisition of BG Group Plc, Moody’s said. Prices are expected to stay low through this year and next and continue to pressure Total’s operating cash flows and credit metrics, Moody’s said.

U.S. Rig Count is down 7 rigs from last week to 443, with oil rigs down 8 to 354, and gas rigs up 1 to 89. Canadian Rig Count is down 8 rigs from last week to 41, with oil rigs down 3 to 8, and gas rigs down 5 to 33.