Bolivian Referendum on Natural Gas Passes; New Laws Implementing Referendum May Lead to Violation of Investors' Rights and Claims for Compensation
Article from: OGEL 3 (2004), in National and International Issues in Natural Gas Development
Introduction
A recent public referendum in Bolivia may significantly impact foreign investment in the Bolivian oil and gas sector, particularly in upstream ventures. The ramifications are uncertain because the referendum is ambiguous, and because the Bolivian legislature - which has strong nationalistic elements - must enact implementing legislation. It appears likely that Bolivia will at least seek concessions from foreign investors and may seek additional taxes, royalties, control over oil and gas reserves, and may even seek to nationalise foreign investment. It is likely that the ...