Navigation Links
New Regulations Likely to Spur More Oil and Gas M&A

New York, US (PRWEB) May 16, 2013

Click here to read the full article:

The US oil and gas sector could soon see a raft of merger and acquisition (M&A) activity as a result of the new regulations brought in following the Deepwater Horizon oil spill in the Gulf of Mexico.

A new piece of research carried out by independent oil and gas industry technical advisory,GL Noble Denton, has highlighted that smaller companies are likely to find it difficult to comply with the regulations and will look towards consolidation with larger companies in order to mitigate their regulatory burdens. The research, entitled Reinventing Regulation: The impact of US reform on the oil and gas industry, has shown that energy industry professionals throughout the US are less ready to take risks amid the current state of the industry and are seeking means of tackling the growing problem of rising costs.

GL Noble Denton sought the opinion of more than 100 senior oil and gas professionals with operations in the US during March and April 2013, and carried out in-depth interviews with ten industry analysts and academics.

The headline findings of the report include the figure that 85 per cent of the respondents are expecting the US regulatory regime to get a lot tougher in the next two years. Some 78 per cent said that the regulatory changes will generate greater administrative workloads, while 82 per cent believe that compliance costs will rise significantly. Crucially, 57 per cent think that the need for greater compliance spending will in turn force more M&A activity, in order to create larger entities that are more capable of withstanding and meeting regulatory requirements.

GL Noble Denton’s Executive Vice President for the Americas, Arthur Stoddart, said that the strong regulatory reaction to the oil spill was inevitable and, while the new regulations will certainly be challenging for the industry, they are crucial steps to prevent future similar disasters.

“As the new rules continue to come into force over the next two years, the sector will need to adapt to survive in a new climate,” he explained. “Increasing compliance costs, burgeoning legal risks and a greater administrative workload are just some of the effects that industry professionals expect to encounter. Our research shows that smaller oil and gas companies operating in the US are most likely to feel the impact of these burdens.”

The Deepwater Horizon oil spill – referred to in the report as the Macondo oil spill, due to the Deepwater Horizon’s location on the Macondo prospect – is considered to be the largest accidental marine oil spill in the history of the petroleum industry. It released an estimated 4.9 million barrels of crude oil into the Gulf of Mexico over 87 days after the Deepwater Horizon exploded and sank in April 2010. It also claimed the lives of 11 workers on the rig.

The incident prompted one of the most extensive reforms of offshore oil and gas regulation in US history. Among the new requirements for offshore operators are stringent measures governing blowout and worst-case discharge plans, including subsea secondary blowout preventer (BOP) intervention and extensive testing. Companies must also provide corporate compliance statements and reviews of subsea blowout containment resources for deepwater drilling, and also maintain comprehensive safety programs, incorporating performance-based standards for operations, including equipment, safety drills, environmental safeguards and management oversight.

About Merrill DataSite

Merrill DataSite is a secure virtual data room (VDR) solution that optimises the due diligence process by providing a highly efficient and secure method for sharing key business information between multiple parties. Merrill DataSite provides unlimited access for users worldwide, as well as real-time activity reports, site-wide search at the document level, enhanced communications through the Q&A feature and superior project management service - all of which help reduce transaction time and expense. Merrill DataSite’s multilingual support staff is available from anywhere in the world, 24/7, and can have your VDR up and running with thousands of pages loaded within 24 hours or less.

With its deep roots in transaction and compliance services, Merrill Corporation has a cultural, organisation-wide discipline in the management and processing of confidential content. Merrill DataSite is the first VDR provider to understand customer and industry needs by earning an ISO/IEC 27001:2005 certificate of registration – the highest standard for information security – and is currently the world’s only VDR certified for operations in the Europe, United States and Asia.

As the leading provider of VDR solutions, Merrill DataSite has empowered more than two million unique visitors to perform electronic due diligence on thousands of transactions totalling trillions of dollars in asset value. Merrill DataSite VDR solution has become an essential tool in an efficient and legally defensible process for completing multiple types of financial transactions. Learn more by visiting today!

For more information, please contact Merrill DataSite: Tel: 1-866-399-3770;
Email:; Web:

Read the full article here:

View our Knowledge Centre here:
Follow us on Twitter: @merrilldatasite

Read the full story at

Source: PRWeb
Copyright©2012 Vocus, Inc.
All rights reserved

Related medicine news :

1. Dec. 12 Atlantic Information Services Webinar to Address the Nuances of New HHS Essential Health Benefits Regulations
2. Growing medicines in plants requires new regulations
3. American Emu Association Updates Quality Regulations in Response to Fraudulent Oils in Market
4. Plastic Surgery –More Regulations Needed to Protect the Public
5. Young girls more likely to report side effects after HPV vaccine
6. Preteens More Likely to Report HPV Vaccine Side Effects
7. Minorities, Medicare Recipients Less Likely to Get Antidepressants
8. Parents of Kids With Cancer No More Likely to Break Up
9. Red Tide Likely in New England This Season, Experts Warn
10. After Hospitalization, Men More Likely to Show Up in ER
11. Women with heart disease more likely to have baby girls
Post Your Comments:
(Date:11/27/2015)... ... November 27, 2015 , ... Intellitec Solutions ... SL User Group (MSDSLUG). Recognized as Microsoft’s official group for end users of ... SL software users, partners, industry experts and representatives. Intellitec Solutions’ membership status demonstrates ...
(Date:11/27/2015)... Los Angeles, CA (PRWEB) , ... November 27, 2015 , ... ... the Commission on Accreditation of Allied Health Education Programs (CAAHEP) awarded accreditation to its ... exclusive list of CAAHEP accredited colleges, as only one of twelve colleges and universities ...
(Date:11/27/2015)... ... ... Indosoft Inc., developer and distributor of the world-class Asterisk ... Term Support) into its Q-Suite 5.10 product line. , Making the change to ... of Asterisk that will receive not only security fixes, but feature and bug ...
(Date:11/26/2015)... ... 2015 , ... Somu Sivaramakrishnan announced today that he joined ... offers travelers, value and care based Travel Services, including exclusive pricing on a ... cabin upgrades and special amenities such as, shore excursions, discounted fares, travel gifts ...
(Date:11/26/2015)... Mass. (PRWEB) , ... November 26, 2015 , ... ... thorough second medical opinion process, participated in the 61st annual Employee Benefits Conference. ... Plans and took place Sunday, November 8th through Wednesday, November 11th, 2015. The ...
Breaking Medicine News(10 mins):
(Date:11/26/2015)... , November 26, 2015 ... Juntendo universitetssjukhus ser potential att använda SyMRI ... (MR-bilder) för patienter med multipel skleros ... forskningsavtal med SyntheticMR AB för att kunna ... på sjukhuset. Med SyMRI kan man generera ...
(Date:11/26/2015)... India , November 26, 2015 ... --> adds ... Report" and "Investigation Report on China ... and 2021 forecasts data and information ... . ...
(Date:11/26/2015)... 2015 ) ... "Radioimmunoassay Market by Type (Reagents & Kits, ... Clinical Diagnostic Labs), Application (Research, Clinical Diagnostics), ... report to their offering. --> ... of the "Radioimmunoassay Market by Type ...
Breaking Medicine Technology: