Oil & gas

As the world seeks to balance energy security and affordability with the broadly agreed imperative to address carbon emissions, the oil and gas industry is facing enormous pressures. Developments such as ESG and hydrogen are having a significant impact. The commitments and initiatives undertaken by this industry undeniably demonstrate that the energy transition is underway, with diverse energy transition strategies being pursued by oil and gas companies.

Key legal trends & developments within oil & gas

• Emphasis on Sustainability and Environmental Compliance: The Netherlands is increasingly prioritizing sustainable practices in the oil and gas sector, with a focus on environmental responsibility. Companies need to adhere to evolving environmental standards.
• Regulatory Dynamics and Compliance Challenges: The legal landscape governing oil and gas in the Netherlands is evolving rapidly. Staying compliant with the latest regulations poses a challenge, necessitating a proactive approach to address compliance issues.
• Robust Contractual Frameworks and Risk Mitigation: Given the complexity of oil and gas projects, there is a growing emphasis on crafting strong contractual frameworks. This includes meticulous attention to details in exploration, production, transportation, and distribution agreements to mitigate risks effectively.
• Energy Transition and Innovation: As the Netherlands undergoes an energy transition, legal considerations around renewable energy projects and innovative technologies are becoming crucial. The industry is witnessing a shift towards sustainable practices and partnerships to support the nation's energy goals. Read more in our Oil & Gas Energy Transition report.
• Dispute Resolution and Litigation Strategies: In the face of increasing complexities, dispute resolution strategies are gaining importance. Litigation, negotiation and mediation are essential tools in the effective management of disputes in the oil and gas sector, whether they be transactional (M&A) disputes, shareholder and joint venture disputes/activism or directors' liability claims relating to environmental damage.

Our oil & gas areas of expertise

At CMS, we bring a wealth of legal expertise to the dynamic and evolving landscape of the oil and gas industry. Our dedicated team is committed to providing comprehensive legal solutions that empower your business and navigate the complexities of the energy sector.

Our lawyers have extensive experience advising oil and gas clients across the entire value chain – exploring, developing, producing, financing, marketing, transporting and processing oil and gas resources.

• LNG (Liquefied Natural Gas): Navigating the intricate legal aspects of LNG projects requires a keen understanding of global markets and regulatory frameworks. CMS offers strategic counsel to guide you through the entire LNG value chain. From project development and financing to regulatory compliance, we ensure your LNG ventures are legally sound and commercially successful.
• Hydrogen (H2): The important role that low-carbon hydrogen will play in decarbonising our energy usage is becoming increasingly widely recognised. CMS advises on developing and implementing new business models and on alliances, joint ventures and growth strategies based on mergers and acquisitions. We can provide legal advice on research and development into hydrogen technologies while ensuring that your development work and products are protected by intellectual property rights and your rights in this regard are effectively enforced. Read more about our hydrogen expertise.
• CCUS (Carbon Capture, Utilization, and Storage): As the energy industry advances towards sustainable practices, CCUS has emerged as a pivotal solution. CMS stands at the forefront, offering legal insights that facilitate the integration of CCUS technologies. Our team is well-versed in the regulatory landscape surrounding carbon capture and storage, ensuring your projects meet all regulatory requirements while maximizing commercial potential.
• Decommissioning: Efficient and compliant decommissioning is crucial for managing the life cycle of oil and gas assets. CMS provides strategic legal support to streamline the decommissioning process, addressing regulatory obligations and mitigating risks. From planning and execution to post-decommissioning liabilities, our team safeguards your interests every step of the way.

• CMS Publications on Energy & Climate Change
• CMS Expert Guides on Energy & Climate Change

Selection of our recent oil & gas experience in the Netherlands

1. AEB: Advised on the SDE++ subsidy in relation to the participation in a Carbon Capture and Storage (CCS)/Carbon Capture and Utilization (CCU) projects.
2. Galp Energia: Advised on the existing regulatory framework applicable to CCS and related liability issues, by providing a multi-jurisdictional overview about regulatory aspects of CCUS in the Netherlands, including an analysis of risks and opportunities.
3. Neptune: Advised on the regulatory framework in the Netherlands for its carbon capture storage project.
4. Linde Gas: Advised on the application of a bio-swap (also referred to as ‘CO2-allocation’).
5. Oil & Gas Major (confidential): Advised on the regulatory framework applicable to CCS in the Netherlands, including applicable SDE++ schemes (Dutch Contract for Difference) and Dutch carbon tax system.
6. Oil & Gas Major (confidential): Advised on Dutch law aspects of the tender for capacity at the GATE LNG terminal in Rotterdam.
7. Oil & Gas company (confidential): Advised on a regularly basis on competition law aspects in relation to the production and sale of clean fuels and the client’s fuel station network for Biomethane/CNG (Compressed Natural Gas) and LNG (Liquid Natural Gas).
8. Big Tech company (confidential): Advised on offtake arrangements for a dispatchable green hydrogen project in the Netherlands.