Oil company YPF signed a preliminary agreement (memorandum of understanding) with US petrochemical Dow Chemical in hopes of the joint development for building a natural supply in the country’s first shale gas discoveries in “El Orejano,” in the Neuquén province.
The agreement was signed by YPF CEO Miguel Galuccio and his Dow counterpart for the Latin America Southen Region, Jorge La Roza, during a meeting held in the company’s headquarters in Puerto Madero.
Galucio explained that they were negotiating the “final terms of a 50 percent joint venture” for the
development of the El Orejano block.
Initially the agreement will involve the development of the first shale gas pilot project in Argentina. The agreement between both companies aims at the development of shale gas in the country.
Source: Buenos Aires Herald