By OGJ editors
HOUSTON, June 27 -- Repsol YPF SA reported plans to spend $6 billion on oil and gas investments in Argentina in 2007-09.
Although production in maturing Argentine fields has fallen off in past years, Repsol YPF acquired additional 3D seismic data for Argentine fields over the past year and is earmarking $4.6 billion for oil and gas exploration and production (OGJ, Apr. 4, 2005, p. 40). Repsol YPF will partner with companies employing new secondary and tertiary production technologies and improved operating methods for mature fields.
Projects include heavy crude development onshore in the Neuquen basin and Santa Cruz province and a pilot tight gas extraction project. Repsol YPF also will expand deepwater exploration in the Gulf of San Jorge with state energy company Energia Argentina SA (Enarsa). A "latest-generation" platform has been contracted where the companies expect to obtain commercial gas from low permeability structures (map, OGJ, Mar. 20, 2006, p. 35). The San Jorge basin comprises 170,000 sq km, nearly 34,000 of which is offshore.
The remaining $1.4 billion will be earmarked for upgrading refineries to process heavy crudes and increase production of gas oil, and for improving fuel quality, revamping petrochemical production units, and developing biodiesel projects.
Repsol YPF said the investments will enable it to determine options for adding production and reserves beyond 2010.