An analyst at Grant Thornton stated in a research report that after the BP oil spill in the Gulf of Mexico, energy companies faced greater challenges in offshore exploration due to a deep sea drilling ban began to join the mining industry. Recent mergers and acquisitions in the technology, technology, and food sectors.
Rob Moore, business director of Grant Thornton’s corporate advisory and reorganization service, said: “Since all costs associated with operations in the Gulf of Mexico continue to rise, deepwater drilling companies will increasingly become the single largest and most complete capital company. â€
Research by the research and consultancy firm shows that if drilling permits are not available, or if the cost of capital becomes more expensive, independent oil and gas companies may be forced to sell assets to their larger, more integrated counterparts.
Moore said investors may not notice the M&A activity that will occur in the near future, and the new rules for oil and gas exploration in the Gulf of Mexico are still unknown.
In this case, ExxonMobil may become the biggest buyer, even though the blue chip giant just completed the acquisition of XTO Energy earlier this year.
Other potential buyers include Chevron, Eni, Italy, Total, France, BHP Billiton, Royal Dutch Shell and Petronas.
On the contrary, oil companies that may be stripped of assets include Anadarko Petroleum, Plains Exploration & Production, Nexans, ConocoPhillips, BP, Noble Energy, Murphy, Marathon Oil companies, Apache companies, etc.
Grant Sandton's analysts pointed out, however, that a potential wave of mergers may actually lead to a reduction in oil production in the Gulf of Mexico. “Large-scale integrated oil and gas companies will now face more assessments, so the decline in well production may not receive due attention to maximize the expansion of oil production in these areas,†the study said.
Moore said energy companies have begun to weigh their future, but they are also waiting for new rules. "In some ways, regulation will become more severe," he said. "This will probably make certain small businesses determine whether they have enough funds to operate, or whether they should reconsider their business plans. Then big companies also Have to consider whether to increase market share through property or company acquisitions."