• 5 minutes Desperate Call or... Erdogan Says Turkey Will Boycott U.S. Electronics
  • 11 minutes Saudi Fund Wants to Take Tesla Private?
  • 17 minutes Starvation, horror in Venezuela
  • 2 hours WTI @ 67.50, charts show $62.50 next
  • 7 hours Newspaper Editorials Across U.S. Rebuke Trump For Attacks On Press
  • 8 hours Mike Shellman's musings on "Cartoon of the Week"
  • 3 hours Permian already crested the productivity bell curve - downward now to Tier 2 geological locations
  • 13 hours Venezuela set to raise gasoline prices to international levels.
  • 3 hours WTI @ 69.33 headed for $70s - $80s end of August
  • 7 hours Batteries Could Be a Small Dotcom-Style Bubble
  • 13 hours Scottish Battery ‘Breakthrough’ Could Charge Electric Cars In Seconds
  • 20 hours Renewable Energy Could "Effectively Be Free" by 2030
  • 19 hours Corporations Are Buying More Renewables Than Ever
  • 8 hours Don't Expect Too Much: Despite a Soaring Economy, America's Annual Pay Increase Isn't Budging
  • 24 hours Again Google: Brazil May Probe Google Over Its Cell Phone System
  • 9 hours France Will Close All Coal Fired Power Stations By 2021
Alt Text

Venezuela Sends More Crude To The U.S. Despite Production Woes

Despite crashing production, sanctions and…

Alt Text

Pakistan: Exxon Is Close To Making A Mega Oil Discovery

Pakistan’s Minister for Maritime and…

Dave Forest

Dave Forest

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

More Info

Trending Discussions

Exxon Is Going Primetime With The World's Next Shale Hotspot

Vaca muerta

The U.S. shale sector continues to be the hottest spot in natural resources investment. But news this week suggests America’s oil and gas industry may have a new rival — as shale in a completely different part of the world gets ready to go commercial.

In Argentina.

The governor of Argentina’s Neuquen province Omar Gutierrez said in a statement Monday that shale production is about to begin in earnest in his territory. With ExxonMobil reportedly about to push the button on a major project in the Vaca Muerta shale here over the coming weeks.

Governor Gutierrez noted that he was in Houston last week meeting with Exxon management. Who reportedly told him the company will enter the “production phase” on the company’s Vaca Muerta projects this May.

Gutierrez didn’t give additional detail on the specific projects that will be put into full-scale production. And Exxon itself hasn’t made any announcements — but the move to commercial production would make sense, given that the firm launched a pilot project for shale production in the Vaca Muerta last year.

If the major is indeed going ahead, it would be one of the biggest developments we’ve seen for international shale. With Governor Gutierrez saying that Exxon’s investment in the Vaca Muerta by the end of 2017 will have already amounted to a full $750 million. Related: Will Autonomous Cars Transform The Energy Industry?

The Governor also said Exxon plans to ramp up production quickly here — noting that the major aims to hit 5 million cubic meters (176.5 million cubic feet) per day over the next two to three years.

That kind of production growth would clearly point to Argentina as the “next big thing” in shale. And would show that local gas pricing — where producers are currently being offered $7.50/MMBtu — is working in supporting development.

Watch for confirmation from Exxon on plans for the Vaca Muerta. And for increasing activity in the play, with a tender for 56 new oil and gas blocks here currently in market by Argentina officials.

Here’s to being next.

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