The Canadian Association of Petroleum Producers says if bridge loans for smaller oil and gas companies aren't ready to flow soon some companies will have to turn to less-safe options to survive the COVID-19 slowdown.
It has been more than two months since the Business Development Bank of Canada and Export Development Canada began working on bridge loan programs to help hundreds of Canada's oil patch companies but there is still no certainty as to when the money can flow.
"We understand the importance of liquidity," said Natural Resources Minister Seamus O'Regan in an interview with The Canadian Press. "We want to get it out the door."
Ben Brunnen, CAPP's vice-president of fiscal and economic policy, said as of right now not even one company has been approved for a bridge loan. Officially they aren't even able to apply yet, with the agencies telling companies expressing interest to wait for more details.
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