• 2 minutes California to ban gasoline for lawn mowers, chain saws, leaf blowers, off road equipment, etc.
  • 6 minutes China and India are both needing more coal and prices are now extremely high. They need maximum fossil fuel.
  • 11 minutes Europeans and Americans are beginning to see the results of depending on renewables.
  • 1 hour GREEN NEW DEAL = BLIZZARD OF LIES
  • 10 hours Monday 9/13 - "High Natural Gas Prices Today Will Send U.S. Production Soaring Next Year" by Irina Slav
  • 18 mins The Climate Scare Stories Began With Far Left Ideology Per GreenPeace Co-Founder
  • 2 days "A Very Predictable Global Energy Crisis" by Irina Slav --- MUST READ
  • 2 hours Putin and Xi have decided not to attend the Climate Summit in Glasgow
  • 1 day Two Good and Plausible Ideas about Saving Water and Redirecting it to Where it is Needed.
  • 3 days Did China cherry-pick the factors that affected the economic slow-down?
  • 2 days Are you aware of Oil Price short videos on our energy topics?
  • 2 days "Here is The Hidden $150 Trillion Agenda Behind The "Crusade" Against Climate Change" - Zero Hedge re: Bank of America REPORT
  • 2 days Is China Rising or Falling? Has it Enraged the World and Lost its Way? How is their Economy Doing?
  • 2 days NordStream2

Breaking News:

California Gasoline Prices Are Spiking

Charles Kennedy

Charles Kennedy

Charles is a writer for Oilprice.com

More Info

Premium Content

One Of The Best Plays In Argentinian Shale Right Now

Argentina is home to some of the largest shale oil and gas reserves in the world, and it has some of the best chances to be the first country to replicate the U.S. shale revolution outside of North America.

International investment has been tricky in Argentina since the country has largely been locked out of financial markets due to the ongoing debt standoff the government is engaged in with creditors, dating back to the country’s default in 2001.

Still, the enormous Vaca Muerta shale basin is “world class,” according to Credit Suisse analysts. The partially state-owned Argentine oil company, YPF (NYSE:YPF), stands to be a major beneficiary of an Argentine shale revolution. And there are several reasons that YPF could be a smart play for investors looking at the Vaca Muerta. Related: Why Energy Efficiency is the Cheapest Form of Energy

First, oil prices are more heavily regulated in Argentina, which hindered the company’s financial position when international oil prices were above $100 per barrel, but protect the company when prices are low. While other companies around the world are suffering from low prices, YPF can at least enjoy the certainty of regulation. Related: Top 5 Oil Producing Countries Could See Production Peak This Year

Second, the Argentine government may get a whole lot friendlier to international investors this fall after President Cristina Fernandez de Kirchner leaves office. That is especially true if the pro-business candidate Mauricio Macri pulls out a victory. But no matter who wins, there is a decent chance that the conflict with Argentina’s creditors finds a solution with the new administration. Related: Why We Should Get Used To Low Oil Prices

More importantly, the Vaca Muerta has very large oil and gas reserves and YPF is leading the charge on development. There are other large oil and gas companies operating in the Vaca Muerta, including ExxonMobil (NYSE:XOM), Royal Dutch Shell (NYSE:RDS.A), and Chevron (NYSE:CVX). But Credit Suisse says that YPF is “one of the most liquid investment vehicles for investors to get exposure to Argentina.”

Also, the company has a high return on invested capital, according to Credit Suisse, a return that is better than Chevron, for example. YPF has a 6 percent rate of growth in terms of production, a figure that is closer to 14 percent when accounting for the acquisition of assets from Apache Corporation (NYSE:APA).

For investors looking at Argentina’s oil and gas investment opportunities, YPF could be the best bet.

By Charles Kennedy of Oilprice.com

More Top Reads From Oilprice.com:


Download The Free Oilprice App Today

Back to homepage





Leave a comment

Leave a comment




EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News