Extracting the Facts: An Investor Guide to Disclosing Risks from Hydraulic Fracturing Operations

This guide was inspired by energy companies’ requests, in dialogues with investors, for enhanced guidance on disclosure of risk management practices.

Investors in particular require specific, detailed information about how companies manage natural gas operations’ risks and rewards. It is necessary for investors to have assurance that company managers are reducing business risks by addressing operational hazards and are capturing the genuine, measurable business rewards flowing from environmental management practices that have the potential to lower costs, increase profits and enhance community acceptance. Investors require relevant, reliable, and comparable information about companies’ natural gas operations to make investment judgments based on a robust assessment of companies’ environmental, social, and governance policies, practices and performance.