Compliance with environmental laws and regulations increases Eog s overall cost of business but has not had to date a material adverse effect on Eog s operations financial condition or results of operations In addition it is not anticipated based on current laws and regulations that Eog will be required in the near future to expend amounts whether for environmental control facilities or otherwise that are material in relation to its total exploration and development expenditure program in order to comply with such laws and regulations However Eog is unable to predict i the timing scope and effect of any currently proposed or future laws or regulations regarding the environment and ii the ultimate cost of compliance or the ultimate effect on Eog s operations financial condition and results of operations relating to such future laws and regulations The direct and indirect cost of such laws and regulations in enacted could materially and adversely affect Eog s operations financial condition and results of operations