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Case Study Daves Oil And Gas

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It is recommended for Daves Oil and Gas to exercise due diligence by complying with the legislatures governing it, in order to overcome environment liabilities and also carrying out risk management. Management should be able prove that the company took all reasonable action and care to prevent committing an offence. Furthermore, in order for due diligence to be effective, the proposed company should emphasize on the level of employees training. An Environmental Management System (EMS) which is a tool used by company to measure, identify and manage the effects of its activities on the environment is recommended to Daves Oil and Gas. An EMS would be useful to Daves Oil and Gas because it would help the company set out its goal for environmental …show more content…
It can help the proposed company on whether to modify, proceed or stop developments. EIA is required for any project on federal lands. In an effort to ensure that environmental factors have been adequately considered in strategic planning a Strategic Environmental Assessment (SEA) is required. It can be also used in addressing the cons of EIA, which includes the fact that it takes place down the decision chain after financial and other aspect are well-advanced .SEA address this issues as they are introduced to specific programs prior to any specific project proposal. Another tool that could be used by Daves Oil and Gas is the Environmental reports and indicator which is a systematic measure of changes in the environment.it severs as a very significant standard of measurement for development of policies and it also provide feed back for strategic planning. Another way to manage and control liabilities and way to exercising due diligence is contracts. A contract is a signed agreement that covers liabilities that are not addressed in legislation, it also provides for financial coverage of damage. Daves Oil and Gas can sign a contract with drilling companies or any company it is working …show more content…
Precautionary principle is a dilemma created for resources and environmental management. Daves Oil and Gas can carry out precautionary principle and exercise due diligence by inspecting its pipelines at least once a year since it is passing through water. This exercise should be carried out to access any leakage in the pipeline and to be aware of any infringement or development near the pipeline. In addition, a recommended way for the proposed company to prevent the liability of tailing ponds is to store the tailing solid or liquid in an embankment structure; this structure and its foundation must be stable in the long term and should be adequately water tight to prevent excessive

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