Northern Oil And Gas Inc. Downgraded To 'CCC+', Outlook Negative; Unsecured Debt Rating Lowered To 'CCC-'

We expect that U.S.-based oil and gas exploration and production company Northern Oil and Gas Inc.'s 2016 and 2017 operating results will be weaker than previously forecast, leading to leverage levels we consider unsustainable. We are lowering the corporate credit rating on Northern Oil and Gas to 'CCC+' from 'B-'. At the same time, we are lowering the issue-level ratings on the company's senior unsecured debt to 'CCC-' from 'CCC'. The recovery rating remains '6'. The negative outlook reflects the potential for a downgrade should liquidity deteriorate or if the company announces a distressed exchange. On May 13, 2016, S&P Global Ratings lowered the corporate credit rating on Northern Oil and Gas Inc. to 'CCC+' from 'B-'. The outlook is

...+ We expect that U.S.-based oil and gas exploration and production company Northern Oil and Gas Inc.'s 2016 and 2017 operating results will be weaker than previously forecast, leading to leverage levels we consider unsustainable. + We are lowering the corporate credit rating on Northern Oil and Gas to '###+' from 'B-'. + At the same time, we are lowering the issue-level ratings on the company's senior unsecured debt to '###-' from '###'. The recovery rating remains '6'. + The negative outlook reflects the potential for a downgrade should liquidity deteriorate or if the company announces a distressed exchange. On May 13, 2016, S&P Global Ratings lowered the corporate credit rating on Northern Oil and Gas Inc. to '###+' from 'B-'. The outlook is negative. At the same time, we lowered the issue-level ratings on the company's senior unsecured debt to '###-' from '###' and maintained the '6' recovery rating. The '6' recovery rating indicates our expectation of negligible (0% to 10%) recovery...

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