YPF and Statoil in Vaca Muerta deal

NEUQUÉN, January 18, 2018 – Argentinian NOC YPF and Norway’s Statoil have finalised an agreement to jointly explore the Bajo del Toro block in the Vaca Muerta play, local media reported Wednesday.

Under the deal, each company will take a 50% stake in the licence, with YPF retaining operatorship. In exchange, Statoil will pay the NOC USD 30 million up front, as well as the additional costs in the block, which are expected to reach up to USD 270 million.

The work programme for the 157-square-kilometre area is divided into two stages, the first of which will include two horizontal wells. The second phase will see the drilling of six additional wells and installation of associated infrastructure.

The companies had initially entered a preliminary agreement on the block in August 2017.

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