Shell has announced that the government of Neuquén province has approved a series of agreements signed between the O & G Developments, a subsidiary of Royal Dutch Shell in Argentina (Shell Argentina) and Apco Oil & Gas International Inc. Sucursal Argentina Vista Oil & Gas (APCO). Approval was given Decree 20197/18, which was published on Friday, dated 22 November.
As part of this transaction, Shell acquired Apco Argentina 18 km2 clean block Coirón Bitter Southwest (IF), which is equivalent to 35% of the rights of the block. In the same transaction, Shell Apco Argentina submitted a total of their rights in the area of Eagle Mora, which is equivalent to 90%, and agreed to develop an infrastructure investment of $ 10 million.
As a result, Shell Argentina increased its share to 80% in the region of Southwest Coiron Amargo (CASO) and remains as the operator. Apco Oil and Gas Neuquén (G & P), the remaining fraction equal to 10% each in this field.
In turn, the case has recently received from the Government of Neuquén province, exploitation concession for 35 years.
«Shell is on the growth path in relation to the business of oil and gas production, focusing on unconventional reserves in the United States, Canada and Argentina. Preliminary results from wells drilled in Vake Muerta and start of production of the pilots were positive and favorable in comparison with other assets of the same class. Continue with investments in innovative projects in the Neuquen as our work and not operated blocks, "said Sean Rooney, Vice President Upstream Argentina and president of the local branch.
The needles Sea, APCO now occupies 90% of the rights and became the operator, while the G & P contains the remaining 10%.