Mexico Energy

The ScottHulse law firm’s Mexico Energy practice group is well positioned to help businesses capitalize on the wide array of opportunities created by Mexico’s 2013-2014 energy reform.

''Our understanding of the significant changes in Mexico energy laws combined with our ability to provide legal representation in both the U.S. and Mexico uniquely positions us to help clients capitalize on wide-ranging business opportunities that are emerging in Mexico’s energy sector.''

Andrea Moran

In recent years, Mexico has established itself as a prime destination for foreign investment in the energy industry. Energy reform, including constitutional and regulatory changes, has eliminated significant trade and investment barriers. More flexible laws have been enacted, allowing foreign access to energy activities that were previously reserved for Mexico’s government.

Strategically located in Texas, our Mexico Energy team is comprised of attorneys licensed in both the U.S. and Mexico, including an attorney who previously held management positions at PEMEX, Mexico’s state-owned petroleum company. This unique blend of legal and operating company experience provides clients, both large and small, with the industry knowledge and “boots on the ground” support required to navigate effectively Mexico’s complex and highly regulated energy sector and manage risk.

Working in concert with attorneys in our other practice groups, our Mexico Energy attorneys help clients evaluate, plan, structure, acquire or start up, finance, and implement energy-related projects and business opportunities in Mexico, and provide ongoing legal and compliance support. Our knowledge of Mexico laws and regulations and our local, governmental and industry relationships, combined with our wide-ranging capabilities in International Trade & Cross-Border Business, Corporate & Securities, Banking & Finance, Mergers & Acquisitions, and Tax Law, enables us to provide end-to-end legal support in every aspect of our clients’ energy-related endeavors in Mexico. Our dual representation in both the U.S. and Mexico enables clients to consolidate and streamline oversight, coordination and implementation of their legal activities, thus easing the challenges of doing cross-border business.

We have experience in energy-related businesses and projects ranging from oil and gas exploration and production fields, public bids for the operation and construction of pipelines, and natural gas and liquid natural gas projects, to the import/export of fuels and lubricants, specialized transportation of energy products, and the establishment of retail gasoline/diesel outlets. Our experience encompasses both conventional and renewable sources of power and energy, as well as mining.

Our legal advice and implementation support for Mexico energy businesses and projects includes, but is not limited to:

Organization

• Organizational structure and corporate governance

Planning & Development

• Evaluation of alternative structural and operating models for energy businesses and projects in Mexico
• Energy regulatory matters, including analysis of the Electricity Industry Act and Regulations Hydrocarbons Law and its regulations, which include rules related to purchases made by PEMEX and CFE
• The process of bidding to obtain contracts for the oil and gas exploration and production
• Participation in tenders for public works contracts related to government projects in the energy sector
• Proceedings before federal, state and municipal authorities

Contracts & Agreements

• Drafting and review of agreements including and not limited to:
  – Power Purchase Agreements (PPA’s)
  – Purchase of natural gas
  – Engineering, procurement and construction
  – Independent power production
  – Operation and maintenance
  – Financed public works
  – Public/Private partnerships
  – Joint venture agreements
  – Contracts with suppliers, customers and investors
• Issuance and renewal of mining concessions

Permits & Certifications

• Assistance in obtaining federal, state or municipal permits to develop energy projects, including but not limited to approvals from Comisión Reguladora de Energía (CRE), Comisión Federal de Electricidad (CFE), PEMEX, Comisión Nacional de Hidrocarburos (CNH), and Secretaría de Energía (SENER)
• Environmental permits and certifications, including but not limited to:
  – Clean Industry certificate of the Federal Attorney for Environmental Protection (PROFEPA) agencies
  – National Commission Water (CONAGUA)
  – International Boundary and Water Commission

Finance

• Financing of energy and power projects, including banking and lending agreements and access to capital markets
• Equipment financing and leases
• Tax planning

Ongoing Operations

• Labor and employment matters, including work patterns and work visas
• Import/export of biofuels and lubricants, as well as equipment
• Establishment of retail gas stations
• Planning and implementation related to transport natural gas and other energy products
• Renewal of concessions and permits

Legal & Regulatory Compliance

• Development, implementation and monitoring of legal and regulatory compliance programs, including but not limited to compliance with:
  – Anti-Corruption and Foreign Corrupt Practices Act (FCPA)
  – General Mexico Law on Climate Change
  – Labor and employment laws