The Energy industry today is affected by a myriad of different geopolitical risks, particularly in emerging markets. Geo-political events can prevent the Energy industry from behaving in a perfectly economic-rational way. By partnering with your firm in taking care of your geopolitical intelligence requirements, we ensure a significant improvement in your ability to take advantage of commercially attractive opportunities in the Energy sector, whilst mitigating risk and helping you compete in a global marketplace. Some of the external factors that your company may be faced with include:
• Trade, politics/diplomacy and security;
• Energy policy change that is triggered by geopolitical events;
• Shrinking access to new oil & gas resources that is driven by political factors;
• Chronic geopolitical instability in key exporting regions;
• Concern over the security of sea lanes – Restrictions/freedom of passage;
• Supply disruption due to armed conflict;
• Sovereignty and maritime jurisdictional disputes in East and Southeast Asia, particularly in the East China Sea, South China Sea, and Gulf of Thailand;
• Territorial and maritime disputes that precludes meaningful oil & gas exploration activities;
• Resource/economic nationalism and protectionism;
• Inadequate infrastructure in the face of increased trade volumes creating logistical and transportation logjams;
• The absence of a regional enforcement capacity and limited national capabilities;
• The absence of effective regulatory and security enforcement due to the increase in the economic utility of South Pacific resources;
• Opportunities for illicit ventures (such as, piracy, arms, drug and human trafficking and illegal fishing);
• Terrorism;
• Government variation in regulatory interpretation and interference;
• Price volatility and unpredictability;
• Power shifts in the balance of oil supply and demand.