A very good question.

See # 133 in the Official Guide, 12th Edition.

Indeed the participial is more concise than the clause, and this is what the GMAT prefers, as long as there is no awkwardness or ambiguity problems (among others). What you need to be careful of is simply the modifier mistake that can arise when using the participial phrases and possibly the tense that s conveyed. In the example you put forward, both sentences mean the same thing with the first being more concise.

Issac,

I am glad you pointed that out. This is one example where I ended up choosing 'that require' in option C instead of "requiring" in B, which is the correct answer.

Can you advise on why 'requiring' is correct?

Actually - when I look at it again -

compliance with laws .......... is protecting adult sea turtles - just sounds correct over

compliance with laws ..... .... protect adult sea turtle....

Probably because protection is still taking place. I realize protect does not sound right but I am not sure if I can give a reason for it.

This is a S-V agreement issue in the sentence you posted.

Compliance is singular-hence is protecting

Compliance -protects and not protect

Thanks for pointing it out