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2017.08.1616:07:00UTC+00YPF: Neuqu?n Validates Agreement With Shell To Vaca Muerta Exploitation

The Argentinean province of Neuqu?n authorized and agreement between the state-owned oil company YPF and O&G Developments Ltd, Shell's affiliate, aimed to carry out the joint exploitation of shale gas and shale oil in the Bajada de A?elo area, in the Vaca Muerta field.

YPF ceded a percentage of its stake in the area, which will be operated by Shell. In this way, YPF owns 35%, O&G Developments 50% and YSUR - YPF subsidiary - 15%. Meanwhile, the Neuqu?n administration reported in a statement that the originally committed investments of US$ 447 million should be made before June 30, 2022.

Bajada de A?elo is an area of 204 square kilometers located in a strategic area of Vaca Muerta. The governor of Neuqu?n, Omar Guti?rrez, said that the agreement would generate 150 horizontal wells and produce 6 million cubic meters of gas and 3,100 cubic meters of oil per day.

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