The government of Mendoza approved the extension for ten years of the exploitation concessions of the Cerro Mollar, La Brea and Sitio Rojas areas, in Malargüe, operated by Petrochemical Comodoro Rivadavia SA (PCR).
The extension decree, signed by Governor Alfredo Cornejo and the Minister of Energy and Environment, Jimena Latorre, reinforces the provincial strategy of revitalizing and prolonging the useful life of mature deposits, creating new opportunities in a key sector for the economy and Mendoza history.
“The interest of the private sector in extending its concession and the committed investment show that Mendoza still has a lot to give in terms of hydrocarbons. This requires a hydrocarbon policy that prioritizes and rewards investment and efficiency, and in that sense we are working from the provincial government. “said Minister Latorre.
“Companies need clear rules and investment incentives that stimulate the market, that is our best contribution,” he added.
For his part, the director of Hydrocarbons of the Ministry of Energy and Environment, Lucas Erio, commented that “the extended areas are a fundamental part of Mendoza’s hydrocarbon heritage, whose energy history dates back to the 1970s and 1980s, when the region consolidated itself as an oil epicenter in the province”.
“The transfer of these areas to PCR in 2023 marked the beginning of a new stage, achieving an increase in production from 45 m³/d to 140 m³/d thanks to a comprehensive reactivation plan. This resurgence reaffirms the validity and value of these conventional deposits for Mendoza,” he explained.
Investments for more than US$20 million
PCR’s investment commitment amounts to US$20 million and includes a strategy focused on two fronts.
On the one hand, the reactivation of inactive wells: Activities focused on putting inactive wells back into production have generated significant increases in hydrocarbon production. This approach will continue for the duration of the extension, ensuring sustained growth.
On the other hand, the exploration of new horizons: PCR will drill six new wells, four of them exploratory, in search of unexplored opportunities in these historical deposits. This activity will allow the certification of new reserves and will position Mendoza as a strategic leader in the country’s energy development.
In addition to the initial commitment, PCR contemplates an additional investment of up to USD 24 million, subject to the commercial success of the exploratory wells. This could lead to the drilling of up to three additional wells for each commercial discovery, consolidating the productive and economic horizon of the province.
The presence of companies experienced in the management of mature fields, such as PCR, is key to maximizing the potential of these assets.
“Ambitious and sustainable investment plans not only extend the useful life of deposits, but also demonstrate how to combine history and modernity in resource exploitation,” Erio said.
Positive economic impact and commitment to the environment
PCR has also assumed a firm commitment to environmental management, focusing on the cleanup of environmental liabilities. This effort includes the abandonment of wells, soil remediation, adaptation of facilities and the implementation of sustainable practices that ensure the care of the natural environment and the well-being of local communities.
The increase in production, together with committed development plans, will generate a significant impact on provincial revenue and direct benefits for local communities.
In addition, priority will be given to local suppliers and services, which ensures that energy development strengthens the Mendoza economy.
The extension of these concessions not only highlights the historical legacy of the deposits, but also opens a future full of possibilities for Mendoza.
In collaboration with the private sector, the Government reaffirms its commitment to efficient, sustainable and visionary management of the province’s hydrocarbon resources.
Source: Ambito
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