Apache presses Argentina Gas Plus projects

Apache Corp.’s Argentina unit plans to operate 28 rigs in core areas in 2010 to drill 249 net wells (299 gross), up from 213 net wells (248 gross) in 2009.

By OGJ editors
HOUSTON, Mar. 1
-- Apache Corp.’s Argentina unit plans to operate 28 rigs in core areas in 2010 to drill 249 net wells (299 gross), up from 213 net wells (248 gross) in 2009.

Of the 299 gross wells, 223 are development wells and 76 are exploration wells. Ten of the exploration wells are on prospects in Pre-Cuyo, Cuyo, and Springhill reservoirs in the Neuquen, Cuyo, and Austral basins.

The Houston-based independent drilled 32 development wells in 2009 with 97% success. Its production was a net 45,500 b/d of oil equivalent, down 5% from 2008 due to reduced capital spending and lower fourth quarter seasonal takes.

Apache has received government approval for four Gas Plus projects that allow gas sales at higher prices, and the company is progressing three more Gas Plus contracts for approval (OGJ Online, Nov. 17, 2009).

Projects under Gas Plus will lead to sales prices of $4.10/MMbtu on 10 MMcfd and $5/MMbtu on 50 MMcfd in 2011, Apache said. The Gas Plus programs so far involve three rigs to drill 21 wells in 2010.

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