No one likes unwelcome surprises, especially when a multimillion-dollar transaction is at stake. Understanding the potential environmental liabilities associated with a midstream asset in advance of a transaction will ease the future anxiety of all involved parties. For the buyers, it’s important to quantify the environmental compliance and remediation liabilities.
Development of the Utica and Marcellus Shale resources in Ohio and Pennsylvania has, and will lead to construction, transfer, and sale of thousands of miles of pipelines to gather, process, and move the product to market. Investment in these assets will require thorough environmental due diligence work to protect your interests. Because of the nature of midstream natural gas gathering assets and their multiple regulatory frameworks, the typical due diligence approach must be tailored to meet the unique hurdles of the midstream sector. Midstream natural gas operators can best protect themselves by understanding and implementing a due diligence protocol as part of a transaction and proceeding with care. Please note that first and foremost, confidentiality and nondisclosure during the evaluation is an essential element in the due diligence process.
Read more in the full article published by The Northeast ONG Marketplace.