London Dhaka
     
Energy (Oil & Gas)

The counsels at our Firm have extensive experience in the Power Sector (both in the public and the private sector) and have advised clients from the bidding stage through to the execution of the project. The Power Project team at the FM works in close co-ordination with the client’s team to anticipate and to meet the challenges the clients may face, taking an approach that focuses on each client’s business objectives.

The Firm’s services range from assisting on specific projects, such as acquisitions, restructurings, tax planning, contract structuring, due diligence, drafting of agreements, negotiation, overall risk analysis of projects, public offerings, project finance transactions, regulatory filings, to advising clients on a daily basis on compliance with the applicable laws. The counsels here have been advising various stakeholders (government, owners, developers, concessionaries, investors, lenders, contractors, sub contractors) in the Power Sector.

We have a dedicated core team of experts selected for providing the requisite services with the right mix of expertise and experience which ensure that our services are of the highest quality. Besides dedication to work, counsels at FM endorse high quality of work, and provide prompt and integrated service to the clients based on their needs and requirements. Our Counsels not only advise on the substantive law relating to power projects but also on the procedural aspects for successful implementation.

The Firm has utmost stringent rules with respect to conflict of interest and confidentiality issues.

 

Firms Experience in the Power Sector

  • Advising and working as the Lender’s Counsel on behalf of Power Finance Corporation Limited for its various power projects located at Maharashtra.

 

  • Assisting the Ministry of Finance, Government of India in restructuring of Dhabol Power Company (ENRON) vis-à-vis settling of lenders’ claims and reviving the project.
  • Advising in consortium with ICRA, National Thermal Power Corporation (“NTPC”) in its proposed bid for ultra mega project in Sasan Power Limited in  Madhya Pradesh.
  • Entire documentation of Kondapalli Power Project (Lanco Group) at Andhra Pradesh was handled and finalised by one of our Partners who was then head of the Legal Department of one of the premier financial institutions.
  • Documentation of the loan sanctioned by Power Finance Corporation to Jindal Thermal Power Company Limited (debt-refinancing) entailing vetting and finalisation of Loan Agreement, Pari Passu Agreement, Security Trustee and Agent Agreement, Pledge Agreement, Memorandum of Hypothecation, Indenture of Mortgage, Letter of Waiver, Deed of Re-Conveyance, Declaration etc. (Project cost-Rs. 1100 crores).
  • Documentation of the loan sanctioned by Power Finance Corporation to Maharashtra State Electricity Board in respect of thermal power station at Beed, Maharashtra entailing drafting of the Loan Agreement, Mortgage Deed / Undertakings, Board Resolution and opinion on the Title Search Report etc. (Project cost -Rs. 400 crores)
  • Documentation of the loan sanctioned by Power Finance Corporation to Gautami Power Limited in respect of its combined cycle power project in Andhra Pradesh entailing vetting and finalisation of Loan Agreement, Pari Passu Agreement, Security Trustee and Agent Agreement, Pledge Agreement, Memorandum of Hypothecation, Indenture of Mortgage, Letter of Waiver, Deed of Re-Conveyance, Declaration etc. [Project cost: Rs. 1500 crores]
  • Acted on behalf of Power Finance Corporation with respect to documentation of the loan sanctioned by Power Finance Corporation to Himachal Pradesh Electricity Board for Hydro Electric Projects in Kashang in Himachal Pradesh.[Project cost: Rs. 769 crore]
  • Acted on behalf of Power Finance Corporation Ltd. in connection with its financial assistance to Enercon Wind Farms (Rajasthan) Pvt. Ltd. and Enercon Wind Farms ( Jaisalmer) Pvt. Ltd for procurement of equipment under Lease finance scheme for setting up wind farms in Rajasthan. [Project cost : INR 115 Crores]
  • Advised project developer on all aspects including the negotiation of the power purchase agreement, initial financing, regulatory and environmental approvals, issues relating to land acquisition and settlement of displaced persons, EPC contracts, vendor credit, insurance and all related issues in the Maheshwar Hydel Projects for S.Kumars.
  • Involved in negotiations, power purchase agreements, implementation agreements, State Government guarantees with MPEB for Essar.
  • Advised Citibank, the main lender in the Bhilai Project for Citibank / Larsen & Toubro.
  • Acted as Indian counsel for the lenders and advising on all Indian law issues relating to the project including power purchase agreements and financial documents both for foreign currency and rupee financing, devising an appropriate security package in consultation with the developers, Indian legal counsel, drafting and negotiating security documents to conducting detailed due diligence on the project especially with respect to statutory and regulatory approvals including environmental approvals and title to land for Videocon Power Ltd.
  • Advised on all aspects, carried out due diligence documentation for Rural Electrification Corporation, India Renewable Energy Development Authority (IREDA) with respect to several energy projects as under:
  • Suzlon Green Power Company Limited;
  • Bhomka Power Corporation Limited;
  • Suzlon Windfarms Services Company Limited;
  • Malwa Power Company Limited;
  • Himkailash Hydropower Private Limited; 
  • Chamoli Hydro Power Limited; and
  • M.P. Windfarms Limited.
  • Advised Acted for EPC Contractor in a fast track Mega Power Project in Andhra Pradesh.
  • EnBw International GmbH : advised in relation to its proposed power projects in Andhra Pradesh

 

  • Advised IDFC, the Financier in relation to Bio-energy Power Project in Lucknow
  • General advisory role for the Tata Electrical Companies.
  • Advised Southern Energy Asia Pacific in relation to 3600 MW power project in Orissa
  • Advised Octagon Consolidated Berhad in acquiring 3 major power plant companies in Southern India.
  • Advised Global Renewable Energy Partners (GREP) in its Windfarm Project in Karnataka, India
  • Advised in respect of fuel supply agreement for the IB Valley Power Project in  West Bengal
  • Acted for SIAL SBEC Bio Energy Limited in respect of a captive cogeneration power plant in U.P.
  • Power Grid Corpn. Of India: Tala Transmission Project, Advised on the bidding process and the project documentation, carried out negotiations of shareholders agreements, implementation agreements and transmission agreements.
  • Steel Authority of India Ltd: Disinvestment of Power Plants at Rourkela, Durgapur and Bokaro, Advising merchant bankers for transaction structure, procedures involved in tenders, drafting of share purchase agreement, shareholders agreement, assignment of business, fuel supply agreement and other definitive agreements. Also supervised the bidding process as legal advisors, reviewed and advised on the agreements between SAIL and NTPC for acquisition of the power plants.
  • Energy Equity of Australia: PPN Power Project, Involved in negotiations with  Tamil Nadu Electricity Board.

Oil and Gas

The Firm has advised several clients in the field of Oil, Gas and LNG Power Purchase Agreement.

Our in-house team has ample knowledge and experience in negotiating and drafting Petroleum Agreements. Issues of concern in a Production Sharing Contract like participating interest, liability of the contractor, functioning of the management committee, government participation, financing etc. are well deliberated before finalizing the same. Accordingly, in a Joint Operating Contract core issues such as operator's liability, operating committee, cross charges, project financing etc. are paid adequate attention during negotiating and drafting the contract.

We have advised Premier Oil in their deal with ONGC in previous NELP. Premier Oil is an operator of the Blocks licensed to ONGC.

We are well acquainted with the legal regime (Oil Fields (Regulation and Development) Act, 1948, Petroleum and Natural Gas Rules, 1959 and The Territorial Waters, Continental Shelf, Exclusive Economic Zone and Other Maritime Zones Act, 1976 {in case of offshore blocks} regulating the exploration and production business in India.

 Some of the specific transactions handled/being handled in the Oil & Gas Sector

  • Advising Premier Oil in relation to oilfield projects in India
  • Acting for Premier Oil in relation to its ongoing exploration activities in India.
  • Advising Gas Authority of India (GAIL) (India) Limited on various issues including its participation in the restructuring of the Dabhol Power Company
  • Assisting Oil India Limited (OIL) in its expansion programme and future listing.
  • Appointed as legal consultant for the Consortium of Petronet, comprising Indian Oil Corporation Limited (IOCL), GAIL, Oil and Natural Gas Commission (ONGC) and Bharat Petroleum Corporation Limited (BPCL) for proposed LNG supplies and regasification services to National Thermal Power Corporation (NTPC).
  • Acted for IOCL in the disinvestment of the stake of Government of West Bengal and other Promoters of Haldia Petrochemicals Ltd.
  • General Advisory role for Petronas, Hardy Oil and Gas( UK), Phoenix Group, Mobil, British Petroleum, Shell, TIDCO etc.
  • Advising SHV Energy NV’s Indian subsidiary in relation to its LPG ventures in India.
  • Advised Petronet LNG in relation to its proposed joint venture with Gas De France
  • Advising Invensys in relation to the largest refinery project in India at Jamnagar
  • Assisted Azerbaijan International Operating Company in connection with structuring of petroleum project. Acted on behalf of Indian Oil Corporation in its bid to acquire 51% in a government owned Turkish refinery TUPRAS in Turkey.
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