Qatar Petroleum to join ExxonMobil in oil drilling in Vaca Muerta

Qatar Petroleum to join ExxonMobil in oil drilling in Vaca Muerta

By Energía16

07/06/2018

More and more investors are participating in oil drilling in Vaca Muerta. Qatar Petroleum signed a deal with U.S. ExxonMobil to acquire a 30 percent stake in two of the companies’ Argentine subsidiaries.

According to what it recently told EFE through this transaction Qatar Petroleum will purchase a 30 percent stake in ExxonMobil Exploration Argentina S.R.L. and Mobil Argentina S.A. Furthermore, under this deal, it will join another seven companies in operating seven hydrocarbon reservoirs in Vaca Muerta (Neuquen). This is why the company will continue its oil drilling activities in the area, but now with more resources.

Companies obtain authorization to carry out oil drilling in Vaca Muerta

These companies have a license to exploit seven blocks in the area now and in the future. The deal was signed this week at the Qatari capital, Doha. The president of Qatar Petroleum Saad Sherida Al Kaabi emphasized the significance of this alliance. “This project marks Qatar Petroleum’s first investment in Argentina, in addition to its first outstanding investment in unconventional crude and gas resources.”

Meanwhile, the ExxonMobil’s VP Andrew P. Swiger stated that this will be a long-term deal. It is based on the “long and successful alliance with Qatar Petroleum and evidences ExxonMobil’s commitment to developing Argentina’s resources with the purpose of supporting a greater oil and gas production in the country.”

It also noted that this is the first time that the company will invest in Argentina, although it did not reveal the amount of this transaction. However, it did reveal that it will be a highly profitable business.

Qatar Petroleum is the second-largest producer of LNG worldwide. This wealthy Arab nation shares the world’s largest gas reservoir, located in the Persian Gulf, with Iran.

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