Legal and Regulatory Environment of LNG Projects in Iran

Iran holds 15.9 per cent of the proven gas reserves in the world and exports of gas in the form of liquefied natural gas (LNG) have long been regarded by the Iranian Government as a vehicle for holding a fair share in the gas export market. This article examines the legal environment surrounding LNG projects in Iran. To this end, the laws that have a significant impact on the implementation and operation of LNG projects, such as laws relating to the promotion and protection of foreign investment, public procurement and oil and gas related laws, will be reviewed and their effects on international oil companies participating in LNG projects will be assessed. This will be followed by an examination of the effectiveness of this system.