ExxonMobil to export Vaca Muerta gas

ExxonMobil will become the first company to export gas from Argentina’s Vaca Muerta play to Chile in an energy swap, local media reported Tuesday.

The country’s Ministry of Energy and Mining has approved an agreement between the super-major and Chilean company Innergy that will see up to 30,000 cubic metres (1.06 mcf) of gas per day pumped from the Neuquén province through the Pacífico pipeline to Chile’s Pemuco regasification plant, and returned to the Mendoza province within a month.

The swap will run through May 31, 2018, or until a total of 900,000 cubic metres (31.8 mcf) of gas has been exported, and can be cancelled in the event of an energy emergency in Argentina.

The arrangement, established by the passing of Resolution No. 492-E/2017, sets the precedent for future swaps, which the ministry hopes will allow the country to take advantage of higher demand across the border at times when Argentina’s own demand is lower.