Why Japan’s utility firms want to pull the plug on destination restrictions for LNG supply
A hardened feature of long-term LNG contracts, the destination clause, is coming under renewed scrutiny as the quest for flexibility gathers momentum.
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Partner, WilmerHale; Former Deputy Secretary, US Department of the Interior
Last fall the Department of the Interior (DOI) announced a region-wide lease sale scheduled for the spring of 2018 that would be “the largest oil and gas lease sale ever held in the United States,” offering about 77 million acres in federal waters in the Gulf of Mexico (GOM). Interior Secretary Ryan Zinke called the sale a bellwether for offshore development, trumpeting it as “part of our strategy to spur local and regional economic dynamism and job creation and a pillar of President Trump’s plan to make the United States energy dominant” in a press release that included statements from ten members of Congress and two Gulf state governors.
Tommy Beaudreau and Jason Bordoff explore what's next for offshore oil and gas leasing under the Trump Administration.