Though optimistic, O&G respondents' greatest areas of focus, as a result of the economic situation, continue to be creating cost reductions and operational efficiencies and improving cash flow/liquidity. Most of the respondents expect financing will be readily available to fund major acquisitions and/or capital projects in the coming year.
•23% of respondents believe financing will be available within 6 months.
•23% of respondents believe financing will be available in 6-12 months.
•18% of respondents believe financing will be available in 1-2 years.
•33% believes that access to finance is not a problem.
"With oil prices high and the fundamentals for gas gaining strength, we expect really strong growth-oriented investment over the next year," said Jon McCarter, Ernst & Young's Americas Oil and Gas transactions leader. "Political unrest in the Middle East continues to put the spotlight on developing energy sources outside of that region and companies are working to respond to that need, as well as higher demand resulting from economic growth."