Risks and risk management

All business operations face the uncertainty of future events. In the current recession it is difficult to asses how things will develop in the coming yeras. Well-considered risk-taking and a good capacity to manage risks are therefore an important part of PA Resources’ strategy.
Risks that can affect PA Resources

 

Operational risks

- Accidents, damage and delays

- Fluctuating production levels

- Geological risks

- Decline in reserves

- Supply of equipment and personnel

- Fluctuations in the price of oil

- Competition

- Interpretation of agreements and related disputes

- Licences may be revoked

 

Political risks and risks related to society

- Different tax systems

- Political instability and corruption

 

Financial risks

- Liquidity risks

- Market risks: currency risks

- Market risks: interest rate risk

- Credit risk