Oil hedging may be frowned upon by some of the larger companies, but it has been close to a lifesaver for several of the smaller outfits.

As oil prices slide through $US30 ($43) a barrel to depths not seen since 2004, a few heads of junior producers are mopping their brows in relief that they erred on the side of caution and put hedges in place to protect at least part if not all of their revenue stream.