Oil and gas

Oil and gas guidance:

Licensing and Regulation Regulatory Bodies The former Department of Energy and Climate Change (DECC) (now the Department of Business, Energy and Industrial Strategy...

Practice Note

Introduction The Industry Mutual Hold Harmless Scheme (IMHH) was introduced in 2002 following an in-depth cross-industry consultation process, facilitated by Leading Oil...

Practice Note

Governments permit companies to explore for and produce hydrocarbons (crude oil and natural gas) within a defined area under the terms of a concession. The concession...

Practice Note

Role of oil service agreements in a petroleum project A typical oil and gas project can be divided into four key stages: • exploration/appraisal—when a company will look...

Practice Note

Introduction The business model underpinning a liquefied natural gas (LNG) project is of fundamental importance since this will determine the risk profile of the project...

Practice Note

Introduction The exchange of commercially confidential information between competitors is one type of arrangement which has been identified by competition authorities as...

Practice Note

Brexit impact This Practice Note contains information on subjects impacted by the UK’s withdrawal from the EU on 11pm on 31 January 2020 (exit day). As of exit day, the...

Practice Note

Scope The UK’s decommissioning regime covers both offshore oil and gas installations and offshore submarine oil and gas pipelines. This regime implements the UK’s...

Practice Note

Decommissioning Relief Deed The Decommissioning Relief Deed (DRD) is a contract between the UK Government and a ‘Qualifying Company’ which operates in the oil and gas...

Precedents

The Decommissioning Relief Deed (DRD) is a contract between the UK government and a 'Qualifying Company' which operates in the oil and gas exploration and production...

Practice Note

Decommissioning security agreements Oil and gas companies are expected to return the seabed to its original state (subject to certain exceptions) by permanently removing...

Practice Note

The UK’s policy on decommissioning, and its execution, is overseen by the Department of Business, Energy and Industrial Strategy (BEIS). While the UK has policy...

Practice Note

The Petroleum Act 1998 (PA 1998) provides the Secretary of State (SoS) with the power to grant licences to companies to search and bore for and get petroleum (through the...

Practice Note

Offshore oil and gas decommissioning programmes are, by their very nature, complex documents. Not only do they require the co-operation of all the departments within the...

Practice Note

Oil and gas decommissioning is usually undertaken by the designated operator of the licence (for an on behalf of its coventurers), therefore it is important to make sure...

Practice Note

Due diligence In common with mergers and acquisitions (M&A) transactions generally, prior to executing an acquisition in the context of the oil and gas sector, a buyer...

Practice Note

The Energy Act 2016 (EnA 2016) received Royal Assent on 12 May 2016 (see Table A below for details) Background to EnA 2016 In June 2013, the former Secretary of State for...

Practice Note

Introduction The Network and Information Systems Regulations 2018 (NIS Regulations), SI 2018/506, implement in the UK certain EU derived cybersecurity requirements...

Practice Note

Scope A farm-out is, in effect, a mechanism pursuant to which the owner of a participating interest in certain oil and gas assets (the Farmor) agrees to divest a...

Practice Note

The Traditional Model: LNG transported by ships Practice Note: LNG—an introduction provides a general overview of liquefied natural gas (LNG). Importantly, any project...

Practice Note

What is a force majeure clause Contractual force majeure (FM) clauses contain provisions which, where specified types of unforeseen circumstances beyond a contractual...

Practice Note

What is fracking? Shale gas extraction or hydraulic fracturing (fracking) is the process whereby water and chemicals are pumped into shale rock at high pressure to...

Practice Note

Prior to the Infrastructure Act 2015 (InA 2015) receiving Royal Assent, the initial indications were that the government would not allow hydraulic fracturing activities...

Practice Note

How does the fracking process work? Shale gas extraction or hydraulic fracturing ('fracking') is the process whereby water and chemicals are pumped into shale rock at...

Practice Note

What is fracking? Shale gas extraction or hydraulic fracturing (fracking) is the process whereby water and chemicals are pumped into shale rock at high pressure to...

Practice Note

What is fracking? Shale gas extraction or hydraulic fracturing (fracking) is the process where water and chemicals are pumped into shale rock at high pressure to release...

Practice Note