1 | 1 | | II |
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2 | 2 | | 119THCONGRESS |
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3 | 3 | | 1 |
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4 | 4 | | STSESSION S. 1035 |
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5 | 5 | | To prohibit certain exports of natural gas produced or refined in the United |
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6 | 6 | | States, and for other purposes. |
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7 | 7 | | IN THE SENATE OF THE UNITED STATES |
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8 | 8 | | MARCH13, 2025 |
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9 | 9 | | Mr. S |
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10 | 10 | | ULLIVANintroduced the following bill; which was read twice and referred |
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11 | 11 | | to the Committee on Energy and Natural Resources |
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12 | 12 | | A BILL |
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13 | 13 | | To prohibit certain exports of natural gas produced or |
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14 | 14 | | refined in the United States, and for other purposes. |
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15 | 15 | | Be it enacted by the Senate and House of Representa-1 |
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16 | 16 | | tives of the United States of America in Congress assembled, 2 |
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17 | 17 | | SECTION 1. FINDINGS. 3 |
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18 | 18 | | Congress finds that— 4 |
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19 | 19 | | (1) natural gas that is produced or refined in 5 |
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20 | 20 | | the United States should be exported from domestic 6 |
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21 | 21 | | terminals given the economic and national security 7 |
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22 | 22 | | concerns associated with exporting that natural gas 8 |
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23 | 23 | | from countries with corrupt governments such as 9 |
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24 | 24 | | Mexico; 10 |
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26 | 26 | | ssavage on LAPJG3WLY3PROD with BILLS 2 |
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27 | 27 | | •S 1035 IS |
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28 | 28 | | (2) Mexico is ranked 140th out of 180 coun-1 |
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29 | 29 | | tries in the 2024 Transparency International Cor-2 |
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30 | 30 | | ruption Perceptions Index, with corruption perme-3 |
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31 | 31 | | ating political and economic segments of society in 4 |
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32 | 32 | | Mexico; 5 |
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33 | 33 | | (3) according to the 2024 Investment Climate 6 |
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34 | 34 | | Statement of the Department of State, ‘‘Mexico’s 7 |
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35 | 35 | | current executive administration has been said to 8 |
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36 | 36 | | erode the autonomy and publicly question the value 9 |
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37 | 37 | | of specific antitrust and energy regulators and it has 10 |
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38 | 38 | | proposed dissolving some of them to cut costs. Fur-11 |
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39 | 39 | | thermore, reporting suggests that corruption con-12 |
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40 | 40 | | tinues to affect equal enforcement of some regula-13 |
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41 | 41 | | tions.’’; 14 |
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42 | 42 | | (4) the corruption permeating Mexico is illus-15 |
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43 | 43 | | trated by the significant fuel theft in Mexico, which 16 |
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44 | 44 | | is so rampant that— 17 |
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45 | 45 | | (A) Roberto Dı´az de Leo´n, the former 18 |
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46 | 46 | | President of the National Fuel Retailers Asso-19 |
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47 | 47 | | ciation in Mexico, referred to fuel theft net-20 |
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48 | 48 | | works as main competitors of gas station own-21 |
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49 | 49 | | ers; 22 |
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50 | 50 | | (B) according to Roberto Dı´az de Leo´n, 23 |
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51 | 51 | | there were at least 4 illegal fuel stations for 24 |
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53 | 53 | | ssavage on LAPJG3WLY3PROD with BILLS 3 |
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54 | 54 | | •S 1035 IS |
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55 | 55 | | every 1 of the 13,000 legal fuel stations in Mex-1 |
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56 | 56 | | ico, as of 2020; and 2 |
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57 | 57 | | (C) the former president of Mexico, Andre´s 3 |
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58 | 58 | | Manuel Lo´pez Obrador, suggested that as much 4 |
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59 | 59 | | as |
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60 | 60 | | 4 |
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61 | 61 | | ⁄5of fuel theft is orchestrated by elements 5 |
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62 | 62 | | of the Mexican state, and fuel thieves depend 6 |
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63 | 63 | | on complicit politicians, police, and insiders at 7 |
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64 | 64 | | state-controlled oil companies to make fuel theft 8 |
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65 | 65 | | possible; 9 |
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66 | 66 | | (5) employees of the Mexican state-owned pe-10 |
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67 | 67 | | troleum company, Pemex, have reportedly been 11 |
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68 | 68 | | threatened, kidnapped, and tortured by criminal car-12 |
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69 | 69 | | tels in Mexico to provide information on pipelines; 13 |
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70 | 70 | | (6) Pemex has faced frequent allegations of cor-14 |
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71 | 71 | | ruption, and, in 2018, Adria´n Lajous Vargas, the 15 |
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72 | 72 | | former chief at Pemex, stated that corruption was 16 |
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73 | 73 | | rampant and ‘‘everywhere in all areas and at all lev-17 |
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74 | 74 | | els of the hierarchy’’; 18 |
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75 | 75 | | (7) Mexico has centralized governmental power 19 |
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76 | 76 | | in its executive branch, including through judicial re-20 |
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77 | 77 | | forms in September 2024 that asserted political con-21 |
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78 | 78 | | trol over the judiciary of Mexico by subjecting all 22 |
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79 | 79 | | judges to replacement through elections that favor 23 |
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80 | 80 | | the ruling political party; 24 |
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83 | 83 | | •S 1035 IS |
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84 | 84 | | (8) the politicization of the judicial branch in 1 |
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85 | 85 | | Mexico imperils the principle of impartiality and 2 |
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86 | 86 | | casts doubt on whether laws will be applied without 3 |
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87 | 87 | | favor, contracts will be honored, and trade disputes 4 |
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88 | 88 | | will be fairly resolved; 5 |
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89 | 89 | | (9) Mexican judicial reforms are expected to re-6 |
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90 | 90 | | sult in changes to regulatory agencies that are crit-7 |
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91 | 91 | | ical to upholding labor, environmental, and trade 8 |
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92 | 92 | | standards enshrined under the United States-Mex-9 |
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93 | 93 | | ico-Canada Agreement; 10 |
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94 | 94 | | (10) Mexico has also been in violation of its en-11 |
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95 | 95 | | ergy commitments under the United States-Mexico- 12 |
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96 | 96 | | Canada Agreement through violations such as— 13 |
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97 | 97 | | (A) granting Mexican state-owned energy 14 |
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98 | 98 | | companies priority over private investors, in-15 |
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99 | 99 | | cluding adopting several measures to favor 16 |
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100 | 100 | | Pemex and the state-owned electrical utility, the 17 |
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101 | 101 | | Comisio´n Federal de Electricidad, at the ex-18 |
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102 | 102 | | pense of foreign investors, the United States, 19 |
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103 | 103 | | and Canada; and 20 |
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104 | 104 | | (B) erecting new barriers to foreign trade 21 |
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105 | 105 | | and investment; and 22 |
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106 | 106 | | (11) the export of natural gas that is produced 23 |
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107 | 107 | | or processed in the United States and exported to 24 |
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108 | 108 | | terminals located in Mexico— 25 |
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110 | 110 | | ssavage on LAPJG3WLY3PROD with BILLS 5 |
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111 | 111 | | •S 1035 IS |
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112 | 112 | | (A) is not in the national interest of the 1 |
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113 | 113 | | United States; and 2 |
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114 | 114 | | (B) is a national security and trade con-3 |
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115 | 115 | | cern to the United States. 4 |
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116 | 116 | | SEC. 2. PROHIBITION ON EXPORTS OF NATURAL GAS. 5 |
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117 | 117 | | Notwithstanding any other provision of law, no per-6 |
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118 | 118 | | son shall export any natural gas produced or refined in 7 |
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119 | 119 | | the United States to a foreign country with the intent of 8 |
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120 | 120 | | further exporting that natural gas through a foreign LNG 9 |
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121 | 121 | | terminal (as defined in section 2 of the Natural Gas Act 10 |
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122 | 122 | | (15 U.S.C. 717a)). 11 |
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123 | 123 | | Æ |
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125 | 125 | | ssavage on LAPJG3WLY3PROD with BILLS |
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