The province of Neuquén approved the exploration contracts for two new areas in the Vaca Muerta formation: these are Aguada de Castro Oeste Blocks I and II, and Bajo del Toro Eastwhich will require initial investments of more than US$85 million for the next four years.
The contracts were signed between the state company Gas and Oil of Neuquén with Pan American Energya firm that commits works and investments for more than US$ 65 million for the Exploration, Development and Production of the Aguada area of Castro Oeste Blocks I and II, and US$ 1.2 million for the right of access to the area.
The second contract was with the companies Interoil Argentina and Selva María Oilwhich will carry out the exploration, development and production of the Bajo del Toro Este area, with a planned investment of more than US$ 20.5 million.
Roadmap
As presented by the companies, the tentative work schedule in the first four-year exploration period includes the drilling of an exploratory well in Block I of the area and the drilling of a second exploratory well in Block II, of a vertical depth of approximately 2800 meters and a horizontal branch of approximately 3000 meters, contemplating the completion of 45 fracture stages.
Aguada de Castro Oeste Blocks IY II is located in the central sector of the province of Neuquén, in the Añelo department – central part of the Neuquén Basin -, and according to the fluid distribution map of the Vaca Muerta Formation it is located in the dry gas generation window.
The signing was made within the framework of the call for the Neuquén Exploratory Plan carried out by GyP.
Pan American Energy already has an important presence in the province of Neuquén, in which it operates 6 areas2 of them in partnership with GyP and participates as a non-operating partner in 2 other additional areas.
At the same time, the provincial government also reported that the companies Interoil Argentina and Selva María Oil, together with the provincial firm GyP, will carry out the exploration, development and production of the Bajo del Toro Este area, committing an investment of more than US$20. .5 million.
The companies will also pay the province of Neuquén US$ 1.2 million as the right of access to the area.
The contract includes a schedule of works and investments to the first four-year exploration period and include the acquisition and reprocessing of 3D seismic and the drilling of a vertical exploratory well with subsequent horizontalization and unconventional completion.
The Bajo del Toro Este block is located within the Vaca Muerta oil window, which in 2018 was awarded to the company Statoil Argentina – later Equinor -, and returned to the province in 2021.
The provincial firm has 15 years of experience and through Decree 436/09 and complementary areas, hydrocarbon areas were reserved for the company so that, by itself, or in association with third parties, it could proceed with their exploration, development and exploitation.
The company has a development plan in various areas in association with national and international firms.
Source: Ambito
