Pan American in Argentina investment

BUENOS AIRES , June 28, 2017 – Pan American Energy (PAE) is the newest E&P player to make large commitments in Argentina, announcing on Tuesday a USD 1.2-billion investment for 2017.

The company is allocating one-third of that total to the Vaca Muerta shale play, where it is involved in unconventional development at several blocks, including Lindero Atravesado and Aguada Pichana.

Part of the investment will also go towards exploitation activities at PAE’s Cerro Dragón field in the San Jorge Gulf Basin. The conventional asset is Argentina’s largest producing field, with an average output of about 100,000 barrels of oil and 3.6 mcm (127 mcf) of gas per day.

PAE is the second-largest oil producer in the country, representing about 18% of Argentina’s total annual output.

According to an April statement made by Argentina’s Minister of Energy and Mining Juan José Aranguren, the country had already secured USD 6 billion-8 billion in investment commitments for development projects in Vaca Muerta for the year.

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