Dino Barajas Discusses Mexican Legal and Investment Landscapes After Opening of Country’s Oil and Gas Sector
Akin Gump global project finance partner Dino Barajas spoke with Law360 for its article “The Top 5 Areas Where Energy Attorneys Can Shine In Mexico,” on the opportunities for investment—and the legal work associated with it—after the opening of Mexico’s oil and gas sector to private and foreign investment.
Although the sector is now open to private and foreign investors and no longer exclusively controlled by Petróleos Mexicanos (Pemex), the article notes that the energy ministry granted the company rights to all the reserves it wishes to develop. Barajas added, “You still have Pemex providing a huge overlay in terms of market participation, whether it’s on its own or as a joint venture partner.”
However, partnering with government is not a “blank slate” either, according to the article. Barajas noted that there are lessons to be learned from longstanding public bidding and contracting guidelines for other Mexican sectors, adding:
“From a legal perspective, one of the most important skill sets to have is simply having the experience of dealing with a public agency in Mexico. Investors will need to understand how the contracts work, as well as the limitations and protections that are in place for contracting with the government.”
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