Repsol-YPF plans investment for Santa Cruz province

Oct 12, 2006 02:00 AM

Spanish oil major Repsol-YPF's Argentina, Bolivia and Brazil (ABB) division plans to invest $ 1.1 bn in Argentina's Santa Cruz province in 2007-09, the provincial government said. ABB general director Enrique Locutura met with Santa Cruz deputy governor Carlos Sancho to announce its investment plan.
The new investment would represent an increase of $ 154 mm from the company's 2006 investment in the province. Repsol-YPF aims to increase its reserves and hydrocarbons output in the region through the reinterpretation of hydrocarbons-bearing basins and the incorporation of new offshore production.

The investment is part of the company's $ 6 bn planned for Argentina over the three-year period, $ 4.6 bn of which will go to E&P. Repsol-YPF believes crude production in the country could reach 390,000 bpd and gas output 62 mm cmpd through the investment plan.
In 2005, Repsol-YPF's net hydrocarbons liquids production in the country was 134 mm bbl, according to the company, or roughly 368,000 bpd. The company produces 11,700 cmpd of oil (99,702 bpd) and 3 mm cmpd of gas in Santa Cruz province.

Meanwhile, Locutura also met with Rio Negro province governor Miguel Saiz, announcing plans to invest $ 65 mm in E&P in the province in 2007-09, the province said.
Projected investment in the province is a sharp jump from the company's 2006 investment of $ 7 mm. Repsol-YPF produces 1,700 cmpd of hydrocarbons liquids and 150 cmpd of gas in the province.

Source: not available