(Houston) – Lawyers and advisors at Akin Gump held a briefing today, titled “The Global Energy Industry: A Look to the Year Ahead in 2017,” addressing some of the big issues likely to affect the global energy industry in the coming year. The event was held as an in-person briefing in the firm’s Houston office and as a webinar for participants around the world.
Globe Law & Business, in its new book Oil and Gas Sale and Purchase Agreements, has included several chapters written by Akin Gump lawyers. The chapters and their corresponding authors are as follows:
- “Conditions precedent and deferred completions,” by oil and gas partner John LaMaster
- “Oil and gas warranties,” by oil and gas counsel Caroline-Lucy Moran
- “Environmental provisions in upstream acquisitions and divestitures,” by environment and natural resources partner emeritus Paul Gutermann
- “Decommissioning,” by oil and gas counsel Nicholas Antonas and partner Marc Hammerson
- “Anti-corruption provisions,” by international trade counsel Nicole D’Avanzo and partner Tatman Savio
- Oil and gas boilerplate provisions,” by John LaMaster
On 1 October 2016, the DIFC-LCIA Arbitration Centre (DIFC-LCIA), a joint venture between the Dubai International Financial Centre (DIFC) and the London Court of International Arbitration (LCIA), adopted new DIFC-LCIA Arbitration Rules (“2016 Rules”), which (i) mirror the LCIA Arbitration Rules (2014) with minor localized amendments and (ii) replace the 2008 DIFC-LCIA Arbitration Rules (“2008 Rules”). As a result of this action, the DIFC-LCIA inherited several changes intended to enhance and expedite arbitration proceedings, some of which are discussed below:
On August 18, 2016, PJM Interconnection, L.L.C. (“PJM”) presented aproposal to its stakeholders outlining a possible mechanism for mitigating the potential impact on capacity prices in the PJM market of generation units receiving revenues from state-regulated programs.1 The proposal, in the form of a short white paper, was presented as part of a symposium on market efficiency and public policy.2 The potential impact of state-supported generation on Regional Transmission Organization/Independent System Operator (“RTO/ISO”) capacity markets has become increasingly relevant as state regulators and lawmakers consider adopting programs to provide revenues outside of the RTO/ISO capacity markets to support the construction of new generation and, more recently, the retention of existing generation. States are considering providing such out-of-market revenues to promote a variety of public policy objectives, including price stability and environmental and clean energy goals. Opponents of such programs, including other generators competing in the wholesale markets, assert that the out-of-market, ratepayer-backed revenues have a price-suppressive effect in capacity auctions. Price suppression, they argue, will erode the price signals that those markets are designed to provide to incent competitive suppliers to enter the market. PJM’s recent proposal to address these potential market impacts, while unique, leaves many questions unanswered.
(Houston) – On July 14, Akin Gump hosted its annual mid-year energy briefing, moderated by Houston partner in charge Christine LaFollette. Featuring partners from around the firm and across practices, the briefing focused on critical issues of interest to clients in and around the energy space.
As the spate of energy bankruptcies continues, trustees, shareholders, creditors, plaintiff’s firms and other interested parties are looking at ever more creative ways to maximize the recovery for their constituency or fight against total loss. In a growing number of cases, this includes casting a critical eye on deals and the actions of officers and directors from years before. Many directors, particularly independents and those appointed by financial sponsors, had little to worry about during the boom times when every deal seemed to be a home run and they took comfort in “knowing” that there was a directors and officers liability insurance (D&O) policy to back them up if something went wrong. However, as parties scrutinize deals through the lens of hindsight with big dollars on the line and lightly-read policies are dusted off, many directors may find that, in bankruptcy, their D&O policy may not really be there for them.
(Houston) – Akin Gump is pleased to announce it has released its “2015 Energy Year in Review,” which examines the current state of the global energy market and highlights the energy matters with which the firm was involved last year in the following areas:
- financial restructuring
- capital markets
- project development and project finance
- energy regulation, markets and enforcement
- energy litigation and international arbitration.
Part One — Vendors at the Gates
As sub-$30 oil prices continue to place mounting pressure on struggling energy companies, we are seeing a steady uptick in claims by unpaid vendors and suppliers. Creditors that historically may have been amenable to extended payment terms for preferred customers — and would have never thought twice about the possibility of suing a customer — are becoming increasingly more aggressive. Some have started to turn to litigation for recourse.