Low oil prices seem almost guaranteed for at least the next few months.
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Companies that restructure crippling debt loads can often emerge from bankruptcy and start life anew, but with the latest fall in energy prices, even a freshly capitalized balance sheet may not be enough to save the company.Already in some cases such as Walter Energy, which filed for Chapter 11 a few months ago, the company said it would run out of money by early 2016 and has opted for a sale of substantially all of its assets, according to the LCD unit of Standard & Poor's.Creditors to Magnum Hunter Resources, which filed for bankruptcy protection this month, will receive nothing other than equity and even those who provide a loan to permit the company to operate under Chapter 11 will receive equity rather than getting their money back, according to two people advising the company.
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