Argentina’s most attractive oil and gas play is Vaca Muerta, an onshore shale formation, but Norway’s Equinor is looking to expand its operations in the offshore zone.
Equinor, formerly known as Statoil, said on August 21 that it had signed a preliminary agreement with Argentina’s state oil company YPF on CAN 100, a block that lies within the North Argentinian Basin. The parties have set up a 50:50 joint venture to explore the 15,000-square km license area.
The deal will expand Equinor’s offshore portfolio in the North Argentinian Basin. The Norwegian company has already teamed up with YPF to explore CAN 102 and CAN 104, which were among the blocks that Buenos Aires offered to investors earlier this year.
Tim Dodson, Equinor’s executive vice president for exploration, praised the deal a signing ceremony on August 21. “Through this agreement, Equinor strengthens its position offshore with Argentina, in line with our exploration strategy to access at scale in basins with high impact potential,” he said.