• 6 minutes WTI @ 67.50, charts show $62.50 next
  • 11 minutes Saudi Fund Wants to Take Tesla Private?
  • 17 minutes Why hydrogen economics is does not work
  • 2 hours Starvation, horror in Venezuela
  • 1 hour The EU Loses The Principles On Which It Was Built
  • 17 mins Desperate Call or... Erdogan Says Turkey Will Boycott U.S. Electronics
  • 1 hour Crude Price going to $62.50
  • 17 hours Anyone Worried About the Lira Dragging EVERYTHING Else Down?
  • 1 hour WSJ *still* refuses to acknowledge U.S. Shale Oil industry's horrible economics and debts
  • 11 hours Chinese EV Startup Nio Files for $1.8 billion IPO
  • 21 hours Oil prices---Tug of War: Sanctions vs. Trade War
  • 22 hours Correlation does not equal causation, but they do tend to tango on occasion
  • 22 hours Russia retaliate: Our Response to U.S. Sanctions Will Be Precise And Painful
  • 1 day California Solar Mandate Based on False Facts
  • 1 day WTI @ 69.33 headed for $70s - $80s end of August
  • 24 hours Monsanto hit by $289 Million for cancerous weedkiller
Alt Text

Brazil Reports Record Oil Exports

Brazil’s crude oil exports hit…

Alt Text

Something Strange Is Happening In The Saudi Oil Patch

According to Bloomberg, Saudi Arabia…

Dave Forest

Dave Forest

Dave is Managing Geologist of the Pierce Points Daily E-Letter.

More Info

Trending Discussions

Another $165 Million Deal Signed In This Emerging Oil Hotspot

Another $165 Million Deal Signed In This Emerging Oil Hotspot

I discussed last week how Argentina is now getting the best oil pricing on the planet. Setting up this former pariah nation as perhaps the best play going in petroleum today.

And this week we got confirmation that big players in the E&P space are taking notice.
Companies like Chile’s state energy firm ENAP. Which signed up a major exploration deal in the Argentinean offshore on Wednesday.

ENAP announced that it has agreed on a 10-year contract extension with Argentina’s state oil and gas firm YPF, for work focusing on the Strait of Magellan in southern Argentina (see map below), as well as exploration areas in the offshore proper. Related: 27 Billion Barrels Worth Of Oil Projects Now Cancelled

ENAP and YPF will explore waters in the Strait of Magellan (inland, center of map)

The deal is a big one, with total value announced at $165 million — signaling that incoming partner ENAP is very interested in the potential here.

Of course, this isn’t a new deal — with the partnership between ENAP and YPF in this area actually dating back to 1991. But the signing of this week’s extension conspicuously coincides with recent announcements about energy market reforms by Argentina’s new government. Related: Saudi Arabia: A Weak Kingdom On Its Knees?

That may have given a firm like ENAP the push it needed to commit hundreds of millions of dollars. A very large amount for the company — which has few international projects on its slate.

Argentina’s announced oil price of $67.50 for 2016 will undoubtedly help project economics for discoveries developed in this area. With crude reportedly being targeted here, along with significant natural gas fields.

As an interesting aside, ENAP said it will seek to maximize production from existing natgas fields at the project. Suggesting they may try using advanced production techniques such as unconventional completions — which ENAP has already been using in some parts of Chile recently.

This is further evidence that Argentina’s regulatory moves — along with its attractive petroleum geology — are setting this up as an energy spot to watch for 2016. Keep an eye out for more deals on Argentinean acreage.

Here’s to getting together with the neighbors

By Dave Forest

More Top Reads From Oilprice.com:




Back to homepage

Trending Discussions


Leave a comment

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News