This 4 day course will give you an insight into the way in which buyers and sellers view and negotiate Gas and LNG Sales Agreements, and will give you a detailed understanding of the terms that are important in these transactions. The course will feature:
- The Essence of the LNG Sales Contracts
- Transportation Agreements of Gas and LNG
- Upstream agreements: exploration, processing and storage
- Gas Sale and Purchase Agreements
- Contract management and dispute resolution
- Plus: 5 workshop sessions
Module 1: (Day 1)
This is an optional module designed for people with no experience in contract law or those needing a refresher.
Module 2: (Day 2-4)
Negotiating Gas & LNG Contracts.
*Modules can be booked together or separately
course overview
The oil and gas industry is global in nature and it involves trading Pipeline Gas and LNG in Africa, Europe, Middle east, Asia and North America. These markets have grown rapidly as a result of demand and deregulation, bringing tremendous business opportunities for all the stakeholders including government entities, producers, sellers, transporters and buyers etc. High contract value, complicated commercial terms, volatile prices, cultural differences and many other unpredicted risks have made contract negotiating, dispute resolution and risk management more and more challenging.
Effective training in these areas becomes an urgent need for relevant executives in both public and private sectors. In response to such industry dynamics, this advanced course will provide effective training in the critical considerations and conditions for successfully concluding Gas and LNG Sales Agreements. The course will enable participants to gain an insight into the way in which Buyers and Sellers view and negotiate Gas and LNG Sales Agreements, and will give participants a detailed understanding of the terms that are important in these transactions.
who should attend
The course is suitable for attendees who are actively involved or likely to be involved in contract negotiations and all those who need an understanding of the principles of gas contracts, including issues such as price terms and the allocation of risk. Those who will benefit are therefore likely to be:
- Senior and middle level commercial managers
- Commercial lawyers
- Risk managers
- Energy purchasing managers
- Strategy managers
- Pipeline marketing managers
- Operations managers
- Project managers
- Senior government officials and regulators
Day 1 (Optional-Module 1)
This day should be attended by any delegates who have no recent formal education in contract law, and is a necessary prerequisite to the gas and LNG specific materials to be covered over the following four days. This day will act as a refresher session to delegates with formal contract law education but is not necessary.
The legal framework and contract law I
- The UK Legal System including sources of law
- English contract Law: contract formation
- English contract Law: contract terms
Workshop 1- Contract terms and content
Delegates will be presented with some problem solving exercises in which they will consider some issues surrounding the terms in some mock contractual situations.
Contract law II
- English contract Law: interpretation of contract terms
- English contract Law: remedies for breach of contract
Workshop 2- Interpretation of contract terms
Delegates will consider some exercises in which the principles of interpretation of contracts will be used to find practical solutions to ambiguous contract terms, and will consider better ways in which the contract could have been framed.
Day 2 -Module 2
The Essence of the LNG Sales Contracts
- What is LNG?
- The LNG Industry
- LNG Value Chain
- LNG Sales, and LNG sale and Purchase Agreements
- Financing of LNG Projects
- Current Issues in LNG
Transportation Agreements of Gas and LNG
Upstream agreements: exploration, processing and storage
Workshop 3:
A case study on behalf of a client looking to enter into a gas transportation agreement, with the owners of an existing pipeline, to export gas from their nearby new development. Delegates will consider and explain the main effect and implications of various points relevant to transportation agreement and will be asked to feed any recommendations they may have.
Day 3 -Module 2
Gas Sale and Purchase Agreements
- Types of Gas Sales Agreements
- Parties
- Term and Effectiveness: Duration and delayed start date provisions
- Sale, Purchase and Delivery
- Gas Reserves
- How to express gas quantities in pipeline gas contracts
- Take-or-pay, Carry Forward and Make Up
- Current practice on shortfall penalties
- Quality
- Price
- Nominations, Undertake, and Overtake
- Measurement and Testing
- Invoicing and Payment
- Force-Majeure in gas sales contracts; the differences between pipeline gas and LNG
- Termination
- Tax
Workshop 4:
Delegates will consider a case study of relevance to the types of gas sales agreements (GSA) and to explain what other features might mitigate the seller’s liability under the GSA?
Day 4 -Module 2
Contract management and dispute resolution
- Operational issues
- Gas delivery procedures and coordination between suppliers, terminal operator, transporters and users
- Types of dispute resolution vehicles: negotiation, arbitration, mediation, litigation, expert determination
- Importance of the dispute resolution clause
- Framing the dispute resolution clause
- Ad hoc dispute resolution agreements
Workshop 5: The dispute resolution clause
Delegates will consider some examples of dispute resolution clauses and will critically examine these with
a view to considering some of the essential ingredients of such a clause, as ideally framed.
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Moe Alramahi
Moe Alramahi is an academic at a leading University in England, UK. He has been involved in advising Governments and private sectors alike on issues of relevance to upstream oil and gas agreements, both in negotiating key terms and drafting techniques.
Mr Alramahi has an international profile excellence and extensive training experience in delivering courses tailored to national and international portfolio of delegates, covering subjects such as, Oil and Gas Contract Negotiations and Management, International Oil and Gas Contracts, Dispute Resolution in Oil and Gas Contracts, International Commercial Arbitration, Production Sharing Contracts (PSCs), Contract Risk Management, Corporate Social Responsibility (CSR), Mergers and Acquisitions (M&A), Construction Contracts, and a practical introduction to Oil and Gas Law.
Mr. Alramahi is a Chief Editor of Journal of International Trade Law and Policy (JITLP). He is regularly invited to chair panels and key oil and gas conferences nationally and internationally. He serves as Domain Name Panelist at the reputable Asian Domain Name Dispute Resolution Centre (ADNDRC) and he has been member at various relevant law societies and organisations.
Mr Alramahi developed a popular Masters course in Oil and Gas Law and he sought successfully professional accreditation from the Energy Institute in London. Furthermore, he has published widely in the field. Recent publications includes; Alramahi, M (2011) “Dispute Resolution in Oil and Gas Contracts", International Energy Law Review, Issue 3/2011, 78-85; Alramahi, M (2010)"New gTLDs– Pandora's Box is open", International Review of Law, Computers & Technology, his forthcoming textbook “UK Oil and Gas Law: A Practical Guide” will be published in second quarter of 2012.
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