The partners will target the Vaca Muerta formation for presence of unconventional hydrocarbons in the Bajo del Toro exploration permit which comprises an area of 157km2 in the west-central part of Argentina.
Argentine state-run energy company YPF is the operator of the Bajo del Toro block, retaining a stake of 50%, while Statoil has entered the permit by acquiring the remainder 50% participating stake.
The acquisition marks the entry of Statoil into Argentina shale play.
Statoil exploration executive vice president for Tim Dodson stated: “This is a light oil exploration project in a world-class unconventional resource play, the Vaca Muerta formation.
“The opportunity has an excellent fit with Statoil’s sharpened strategy, and is in line with our exploration strategy of delivering profitable, high-quality resources.”
The Vaca Muerta formation is expected to have major deposits of shale oil and shale gas found at a depth of more than 2,500m. As per the US Energy Information Administration, the geological formation contains 16.2Bbbl of shale oil and 308Tcf of shale gas.
YPF chairman Miguel Angel Gutierrez said: “Bringing in a new international player like Statoil into the country shows confidence in Vaca Muerta as a promising shale play and in YPF as a leading operator.”
YPF’s previous partners in the block were EOG Resources Argentina and Gas y Petróleo de Neuquén.
The closing of the deal and agreements between YPF and Statoil are subject to approval of the Neuquén provincial authorities.
Last year, Statoil and YPF had come to an agreement on a technical study to map exploration scope in a large part of the continental slope offshore Argentina.
Image: Tim Dodson (right), Statoil’s executive vice president for Exploration, and Sergio Giorgi, YPF’s vice president for business development & development engineering. Photo: courtesy of Grégory Maillot/Point Of Views/ Statoil ASA.
