Qatar signs for a 30% stake in Exxon’s Argentina shale assets
Qatar Petroleum has bought (as of Sunday 3rd June) a 30 percent stake in Exxon Mobil’s affiliates in Argentina, granting the state-owned oil giant access to Latin America’s shale assets.
According to a recent statement, QP, the world’s largest supplier of liquefied natural gas (LNG) has now gained rights with not only ExxonMobil Exploration Argentina S.R.L and Mobil Argentina S.A, but also other partners for 7 blocks.
Saad Al-Kaabi, QP’s Chief Executive said: “This is an important milestone, as it marks Qatar Petroleum’s first investment in Argentina as well as its first significant international investment in unconventional oil and gas resources,”
The deal is thought to be an “important milestone” for the oil giant, as it marks QP’s first purchase of Argentina’s oil assets, as well as its first notable overseas investment in unconventional oil and gas extraction.
The agreements received signatures from both Al-Kaabi and Andrew Swiger, Senior VP at Exxon Mobil Corp., in Doha. The exact amount invested into Argentina’s oil sector was not included in the statement.
The blocks included in the agreement between QP and Exxon are based in Vaca Muerta and Nequén basin in Argentina and QP will receive “unconventional exploration licenses with active drilling plans as well as exploitation licenses with pilot drilling and production,” in this new agreement.
“This agreement... goes hand in hand with the planned expansion of our local production from the North Field, which will further boost Qatar’s leading global position by raising its LNG production from 77 million to 100 million tons per year,” Al-Kaabi continues.
“Our oil and gas sector has not been impacted by the blockade, nor has our previously planned expansion.”