Jim Ryan and Tyler Chase, Protiviti Managing Directors
With sub-$50-per-barrel risk largely subsided, optimism abounds in the oilfield. Recent billion-dollar deals like Concho Resources’ acquisition of RSP Permian and Devon Energy’s divestiture of its stake in EnLink Midstream may put pressure on others to make deals to stay competitive. While certain deals are relatively safe others come with significant risk, as evidenced by the failed merger between SandRidge Energy and Bonanza Creek Energy.
This article describes how your institution can avoid a dry hole in M&A by ensuring that your playbook meets sound practice standards in three areas: governance, resource mobilization and positioning for scale.