Executive Summary

Long-term Gas Sales Agreements (GSAs) and LNG Sale and Purchase Agreements (LNG SPAs) remain central to gas trade, project finance and supply security, but their traditional structure-long duration, fixed volumes, take-or-pay commitments and limited renegotiation-is under growing pressure from decarbonisation regulation. This article argues for disciplined adaptation rather than abandonment. It proposes an effect-based framework that connects climate-related regulatory impacts to proportionate contractual responses and translates that framework into practical drafting guidance. The resulting clause architecture preserves seller revenue security and project bankability while giving buyers some controlled relief where binding decarbonisation measures materially alter the contractual bargain.

This paper will be part of the OGEL Special Issue on "Clean Energy Projects and Risk Mitigation". More information here www.ogel.org/news.asp?key=841