Rooting for an International ApproachTue, 01/21/2020 - 15:53
Q: Why is Canales Auty specialized exclusively in natural resources law?
A: All of our partners have devoted their entire professional careers to both the study and practice of natural resources law. In recent years, the natural resource industries have acquired a significant international dimension; requiring more and more in-depth knowledge of the applicable law and best international practices. In this context, natural resource lawyers are increasingly needed to provide invaluable orientation and counsel to foreign companies investing in natural resources projects, or domestic companies seeking to expand their presence globally. Canales Auty is a boutique law firm with an ethos in corporate, commercial, environmental and tax services, with an exclusive focus on the natural resources sector, including oil and gas, power, renewable energy, water, base metals and minerals. For the oil and gas sector, we provide support in areas that include licensing and permitting, exploration, development, production, supply and public and private capital raising.
Q: In what kinds of projects does Canales Auty provide the highest added value?
A: Due to our regional approach and specialized knowledge and expertise in the natural resources sector, we are constantly approached by governments and energy companies to advise on precedent-setting projects not only in Mexico but throughout Latin America. Thanks to our regional practice, we often provide insights on how governments and energy companies have dealt with and solved similar issues. Canales Auty has advised the energy regulators of Mexico, Dominican Republic, Belize, Peru, Bolivia and most recently Tanzania, on the drafting of oil and gas laws and regulations and model production sharing contracts and unitization agreements. For the private sector, Canales Auty’s oil and gas practice supports clients on the entire life cycle of natural resources, from licensing through the decommissioning process. Highly experienced in a broad array of oil and gas transactions and disputes, we provide practical, strategic and tactical advice. Clients benefit from our extensive local and international experience and expertise to identify and address any and all risks that may arise. Our lawyers understand how changing regulatory frameworks, fluctuating commodity prices and unpredictable global economic trends impact our clients’ businesses.
Q: What specific projects can showcase Canales Auty’s capabilities in Latin America?
A: Canales Auty has worked on some of the most complex projects and matters in the Latin American oil and gas sector. Our oil and gas practice drafted the Dominican Republic’s first model production sharing contract for its current offshore and onshore licensing round. For Belize, Canales Auty drafted its new model production sharing contract and applicable amendments to its petroleum act and regulations. In Bolivia, Canales Auty is currently advising on the drafting of the country's new natural gas exploration and development license contract and tax incentives. Our team is currently advising the first private natural gas offshore compression facility in the Gulf of Mexico.
Q: What elements do you believe make Mexico an attractive destination for oil and gas investments?
A: Despite the recent fears of investing in the future of the Mexican energy market, many IOCs are keeping a full-glass attitude as Mexico remains a country in dire need of new investment in the oil and gas sector. Canales Auty clearly sees opportunities to add new acreage and energy infrastructure to Mexico’s oil and gas sector. Mexico’s growing demand for energy is constant and will remain so despite political turbulence. The potential of the Mexican hydrocarbons sector is so vast, that by 2050, despite its efforts to introduce more and more renewable energy, hundreds of thousands of new barrels per day will be added and hundreds of billions of dollars of investments in energy infrastructure projects will certainly add several whole percentage points to Mexico’s GDP. Further, Mexico’s unique geographical position to the US market provides an undisputable incentive for greater integration with the North American region.
Canales Auty is a law firm dedicated exclusively to natural resources in Latin America. It currently works with IOCs, NOCs, government regulators, multilateral agencies and energy funds.