Companies in mid-cap, oil, and gas companies are facing trouble in getting new investments due to the reorientation of various fund managers. At present, they are working towards finding alternative energies one of the main companies is UK-based Hurricane Energy.
Private equity firms are ready to invest in the exploration of oil and gas, but not public companies. Due to this, Alistair Stobie mentioned that the industry will require more to reestablish faith among various investors. Also since fossil fuels will be having a small but crucial role to play in the future energy mix.
The main challenge in front of medium-sized energy independents is that of specialist investors and those focusing on other energy industries. These industries were wiped out during the latest industry downturn and presently various sectors are trying to find themselves to deal with various general investors. These are specifically from general investors like funds and institutions having different priorities.
An important part of this is the investment funds are now putting more emphasis on social, environmental and other factors that help in the growth of returns. As of now, the problem is small but might grow in the future days.
The number of oil and gas exports are available with more pressure of not investing. The growth of the generalist investors will also mean that there is less knowledge about specialization. With the help of various new innovations and growing future prospects, the chances are present.
Also, Hurricane Energy is another independent private equity that has the backing of energy. This had earlier caused flooding of the North Sea by the UK. When the major companies started pulling off on faster return projects across U.S. shale.
Presently, the company is operating in the Lancaster field. The most recent discovery in the region is likely to withhold approximately 500 million barrels of crude oil.