This publication provides an analysis of SEC comment letters issued to registrants across the energy and mining value chain, including exploration and production, midstream, downstream, drillers, oilfield services, and integrated energy companies.
Energy and mining companies currently operate in an environment characterized by commodity price volatility, resource scarcity, rapid advances in technology, and the growing social, political and economic challenges posed by climate change. In response, energy companies have continued to focus on risk management, regulatory compliance and new growth fueled by redefined production possibilities and forays into new global markets. In the mining sector, companies are reducing capital expenditures, increasing hurdle rates and disposing of non-core assets to control costs in the wake of depressed mineral prices. The increased number and nature of comment letters issued by the U.S. Securities and Exchange Commission’s (SEC) over the last year reflect these trends, and underscore the importance of public company reporting as a key source of information for energy and mining company stakeholders.