North Sea M&A: Recent Trends

The offshore oil and gas industry in the North Sea is experiencing a defining period in its history.

The implementation of the Wood Review brings with it a promise that a new regulator, the Oil and Gas Authority, will be in place by the end of the year with the potential to change the operating landscape for those active or looking to participate in the North Sea. In a parallel development, the Offshore Safety Directive will require significant changes to offshore environmental and safety regulatory functions.

As a mature basin, the North Sea is experiencing a continued decline in production levels and the political and fiscal landscape is uncertain in the run up to this year's Scottish referendum on independence.  Yet the sector remains buoyant with increasing levels of investment in new field developments and an expected increase in M&A activity.