Rising operating costs will be the biggest barrier to oil and gas companies’ growth in Asia Pacific next year, according to major new research on the outlook for the industry in 2013 by GL Noble Denton.

While the sector’s rapid growth is bringing huge new opportunities to the region, the research, which will be published in an in-depth report by the independent technical advisor to the oil and gas industry in January, shows that significant challenges remain.

According to initial results from GL Noble Denton’s survey of nearly 400 senior industry professionals, over half of those from the Asia Pacific region (53%) identified rising costs as one of their three biggest concerns for 2013, and a serious threat to the growth of their business.

This represents a substantial increase compared to last year when, in a similar survey, just 39% of respondents from the region forecast increased operating costs as a top three barrier to business growth in 2012.

Commenting on the trend, Richard Bailey, Executive Vice President for GL Noble Denton’s operations in Asia Pacific, said: “Increasing operating costs are understandably a worry for Asia Pacific’s oil and gas leaders and, according to our research, they are more concerned by the trend than professionals in other production hubs across the world.

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