• 4 minutes Trump has changed into a World Leader
  • 7 minutes China's Economy and Subsequent Energy Demand To Decelerate Sharply Through 2024
  • 8 minutes Indonesia Stands Up to China. Will Japan Help?
  • 10 minutes US Shale: Technology
  • 13 minutes Which emissions are worse?: Cows vs. Keystone Pipeline
  • 17 minutes Shale Oil Fiasco
  • 15 mins Boris Johnson taken decision about 5G Huawei ban by delay (fait accompli method)
  • 15 hours We're freezing! Isn't it great? The carbon tax must be working!
  • 5 hours Phase One trade deal, for China it is all about technology war
  • 8 hours Angela Merkel take notice. Russia cut off Belarus oil supply because they would not do as Russia demanded
  • 1 hour Might be Time for NG Producers to Find New Career
  • 12 hours Environmentalists demand oil and gas companies *IN THE USA AND CANADA* reduce emissions to address climate change
  • 15 hours Prototype Haliade X 12MW turbine starts operating in Rotterdam
  • 10 hours Swedes Think Climate Policy Worst Waste of Taxpayers' Money in 2019
  • 14 hours Wind Turbine Blades Not Recyclable
  • 13 hours Denmark gets 47% of its electricity from wind in 2019
  • 1 day Beijing Must Face Reality That Taiwan is Independent
Oil Falls Despite Major Outage In Libya

Oil Falls Despite Major Outage In Libya

Oil prices fell on Tuesday…

OPEC Raises 2020 Global Oil Demand Growth Estimate

OPEC Raises 2020 Global Oil Demand Growth Estimate

Healthier global economic growth in…

YPF, Petronas Strike $2.3 Billion Deal In Vaca Muerta Shale

Vaca Muerta

Argentine’s state oil and gas company YPF and Malaysian Petronas will invest jointly US$2.3 billion in an oil production project in the Vaca Muerta shale play, one of the largest in the world. The project, S&P Global Platts reports, envisages daily production of 60,000 barrels of crude oil and gas, to be reached by 2022.

The Argentine company said in a statement the two had already spent US$550 million on exploration in the La Amarga Chica area, and have achieved production at a daily rate of 9,800 boe. Over the long term, the partners will invest another US$4.7 billion over 20 years to boost production to 75,000 bpd, which will be the peak for the deposit.

Last year, YPF said it planned to spend US$21.5 billion on new oil and gas production over the next five years, eyeing a 26-percent increase in crude oil production. The company said it would sell some assets to gather the funds necessary for the ambitious production-raising plan, and it will also enlist the help of other companies, which will contribute an estimated US$8.5 billion to its five-year investment program. 

Exxon, BP, Total, and Chevron are among the companies that have already pledged substantial funds for oil and gas exploration and production in Vaca Muerta, which holds reserves estimated at 22.8 billion barrels of oil equivalent. Argentina also has 2.4 billion barrels of conventional oil reserves, and is also hoping to score major discoveries offshore, to which end it will schedule a bidding round next year. Hopes are that the pre-salt basin along the Brazilian coast could extend into the Argentine continental shelf.

The country’s energy ministry expects that Vaca Muerta will be instrumental in the planned twofold increase in the national oil and gas production to 1 million bpd of crude and 260 million cubic meters of gas by 2023. That would entail an increase in exports to 500,000 bpd of crude and 80 million cubic meters of gas.

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage


Leave a comment

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News
Download on the App Store Get it on Google Play