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Oil & Gas Valuation Issues Lead to Litigation

The U.S. domestic oil and gas industry is still reeling from the drop in demand and ongoing price uncertainty due to the pandemic. These unique circumstances have illuminated critical issues regarding the valuation of oil and gas reserves, which can be seen in the bankruptcies within the industry over the last couple of years. Despite how impactful the valuation process is, experts in the industry explain that it is subjective, leading to regular disagreements and litigation.