Untitled Document
Untitled Document

Survey: Access to capital most important financial issue facing companies in 2014

Capital One Bank conducted a survey of conference attendees at NAPE International in Houston, TX. The survey, conducted on February 6-7, 2014, was developed to gauge the sentiment of the oil and gas industry in the coming year. Respondents included various professionals within the energy industry. Percentages are based on 106 responses.

Seventy three percent of respondents cited access to/cost of capital as the number one financial concern for companies in 2014.

With a response rate of 40%, increased regulation was cited most often as the biggest industry concern for 2014. Speaking at NAPE International February 5, former US Secretary of the Interior Ken Salazar noted that hydraulic fracturing is safe and that the key to sustaining the unconventional revolution is spreading the correct informaiton to the public.

Fifty-six percent of energy professionals surveyed by Capital One identified US energy independence as the industry trend likely to gain the most momentum this year. 

The survey revealed a positive outlook on oil and gas prices; two-thirds of respondents expect gas prices to remain steady or increase this year, and 71% anticipate similar stability for oil prices.

“This upbeat view of oil and gas prices goes hand in hand with the progress toward U.S. energy independence,” said Russ Johnson, head of Energy Investment Banking, Capital One Securities. “However, our survey data also revealed concerns over regulatory pressures and resistance to shale development, as well as access to capital. Our team of banking professionals is committed to providing our clients with tailored financing solutions to help them successfully navigate industry challenges and continue on a path towards growth.”

The pace of merger and acquisition activity is expected to pick up this year as well. Fifty-eight percent of the Capital One survey respondents expect M&A to increase in 2014, while 38% expect the level of M&A activity to stay the same as the prior year.

“The energy industry seems likely to see stepped-up M&A activity in 2014,” added Scott Joyce, managing director of Energy Origination, Capital One Bank and Capital One Securities. “As that activity continues in the year ahead, Capital One will continue to provide the support companies need to take advantage of opportunities that will strengthen their goals for growth and expansion.”

Find a PDF of all the results here.

 

 

Related Articles

Linc Energy to begin underground coal gasification operation in Poland

07/07/2014

Linc Energy Ltd. has gained initial approval from the Polish Ministry of the Environment to begin an Underground Coal Gasification (UCG) project in Poland.

Wood Mackenzie: Setting the record straight on US crude oil exports

06/27/2014 Amidst the high volume of speculation off the back of the June 24 announcement by the US Department of Commerce concerning a private ruling for Pioneer Natural Resources Co. and Enterprise Product ...

Western Energy Alliance: Proposed rule on valuation of Indian energy assets

06/26/2014 Western Energy Alliance has joined the Office of Natural Resources Revenue (ONRR) and Interior Secretary Sally Jewel in applauding the release of proposed rules governing valuation of Indian oil as...

UK announces unconventional petroleum licensing model clauses

06/26/2014 Energy Minister Michael Fallon took the opportunity on 24 June 2014 at the UK Shale Conference to cite the energy security crises in the Ukraine and Iraq as further reason for the UK to focus on sh...

Baker Botts adds international arbitration lawyers

06/25/2014

Baker Botts has added arbitration lawyers Edward Schorr and Andrew Behrman to its global International Arbitration practice.

More Oil & Gas Financial Articles

Linc Energy to begin underground coal gasification operation in Poland

Mon, Jul 7, 2014

Linc Energy Ltd. has gained initial approval from the Polish Ministry of the Environment to begin an Underground Coal Gasification (UCG) project in Poland.

Wood Mackenzie: Setting the record straight on US crude oil exports

Fri, Jun 27, 2014

Amidst the high volume of speculation off the back of the June 24 announcement by the US Department of Commerce concerning a private ruling for Pioneer Natural Resources Co. and Enterprise Product Partners LP, a closer look reveals that the rulings upheld the definition of what is exportable, with no material change to export policy, according to Wood Mackenzie.

Western Energy Alliance: Proposed rule on valuation of Indian energy assets

Thu, Jun 26, 2014

Western Energy Alliance has joined the Office of Natural Resources Revenue (ONRR) and Interior Secretary Sally Jewel in applauding the release of proposed rules governing valuation of Indian oil assets.

UK announces unconventional petroleum licensing model clauses

Thu, Jun 26, 2014

Energy Minister Michael Fallon took the opportunity on 24 June 2014 at the UK Shale Conference to cite the energy security crises in the Ukraine and Iraq as further reason for the UK to focus on shale gas and oil exploration.

Baker Botts adds international arbitration lawyers

Wed, Jun 25, 2014

Baker Botts has added arbitration lawyers Edward Schorr and Andrew Behrman to its global International Arbitration practice.

Most Popular

Oil & Gas Jobs

Search More Job Listings >>
Subscribe to OGFJ