Argentina’s state-run oil and fuel producer YPF SA is near an settlement to accumulate shale oil property from France’s TotalEnergies SE, in response to individuals conversant in the matter.
A sale might be valued at US$ 400 million to US$ 500 million, mentioned one of many individuals, who requested to not be recognized as a result of they weren’t authorised to talk publicly.
A Complete spokesperson didn’t instantly remark when reached by cellphone exterior of normal enterprise hours in Paris.
Complete is seeking to promote 45 p.c of the La Escalonada and Rincon La Ceniza shale oil fields, which lie in an underdeveloped nook of Argentina’s burgeoning Vaca Muerta shale formation. Chevron Corp. has a key asset in the identical space, whereas Argentine driller Pluspetrol SA plans to develop fields there after shopping for them final yr from Exxon Mobil Corp.
The Vaca Muerta has been notching up spectacular oil progress, however a lot of it’s coming from homegrown corporations. YPF Chief Govt Officer Horacio Marin mentioned Tuesday throughout an occasion in Buenos Aires that drilling exercise within the shale patch is about to weaken within the close to time period as corporations restrain spending.
TIMES/BLOOMBERG
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