Max RockallMax Rockall, newly appointed head of Squire Patton Boggs’ Asia-Pacific energy disputes and liquefied natural gas (LNG) practice, is bracing for a sharp rise in demand for LNG-related services, particularly in China, Japan and South Korea.
As these nations rank among Asia’s leading importers of LNG, he anticipates a range of challenges emerging that will need to be addressed.
“We anticipate a significant demand for LNG legal services in Japan, China and South Korea. These countries remain the traditional leading importers of the Asian LNG market and there continue to be many large, multi-faceted disputes emerging out of contracts which involve entities within these jurisdictions,” Rockall told Asia Business Law Journal.
International arbitration, he said, remained the “preferred method for resolving these disputes due to its neutrality, confidentiality and cross-border enforceability”. With Singapore being the “leading venue for commodities disputes in Asia”, Rockall is gearing up to be in the thick of the action as he relocates from London to Singapore armed with 15 years of experience.
One jurisdiction on the rise and experiencing a surge in energy disputes is India. Explaining why, Rockall cited the country’s “price sensitivity and complex energy legal landscape continues to give rise to challenges for industry participants who operate there”.
From a broader regional perspective, he highlighted four key trends set to shape Squire Patton Boggs’ energy disputes practice – LNG price reviews, rise in failure to deliver cases, scheduling disputes and force majeure.
Looking ahead, Rockall has already identified a potential emerging trend in the LNG industry that he believes will merit close attention.
“We anticipate an increase in decommissioning issues and potential disputes as some of the foundation LNG projects in Asia are fast approaching the end of their operational lives. Decommissioning is an expensive process, and one that is environmentally sensitive. This could therefore lead to an emerging bracket of LNG disputes in the future,” he said.