The Federal Reserve revamped its Main Street Lending Program in ways that will allow battered oil companies to qualify for the aid after industry allies lobbied the Trump administration for changes.
Larger, more heavily indebted companies can now qualify and use the money to pay off prior loans under the changes the central bank announced Thursday.
The move opens the door to more oil and gas producers, said Senator Kevin Cramer, a Republican from North Dakota, who had pressed the administration on the issue as energy companies struggle to survive an epic collapse in fuel demand and crude prices.
“These changes directly reflect demands from polluters and their favorite members of Congress,” said Lukas Ross with the environmental group Friends of the Earth. “Long before the coronavirus, the drillers were in deep trouble. Now frackers want to pay back their debts with our money. Trump’s big oil bailout must be stopped.”
Last updated on Sat., May 2, 2020.