Oil and Gas Decommissioning | Decom North Sea

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Member News and Industry News

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Managing decommissioning risk in M&A transactions

With $14 billion of commitments before 2024, according to Rystad, decommissioning costs have long been a risk to and blocker in transactions, especially portfolio and corporate deals. The sector has moved a long way since early stage bilateral decommissioning agreements as sellers sought to navigate Section 29 of the Energy Act 2008 and other commercial risks in pursuit of the “clean break”.

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Photo credit: Energy Voice/Shutterstock/Holt Energy Advisers

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