Brazil to Spend US$ 2.4 Billion to Drill for Oil in Argentina

Petrobras Argentina Brazil's government-controlled oil multinational Petrobras will be investing US$ 2.4 billion in hydrocarbons exploration and exploitation in neighboring Argentina in the next four years, announced Petrobras Argentina's CEO Décio Oddone.

Over breakfast with journalists Oddone also said that 15 exploratory wells are planned in continental areas of the Santa Cruz, Neuquen and Salta provinces.

He also anticipated the company would invest US$ 80 million in increasing the capacity of its electricity generating plan Genelba in 80 MW.

"Following the exchange of assets with Repsol-YPF in 2001 and the purchase of Perez Companc assets in 2002, Petrobras Energy has acquired a clearly exploratory profile in Argentina and has invested in that area over US$ 1.8 billion since 2003," added Oddone.

If current surveying and prospecting are positive the first exploratory offshore well will be drilled in the Enarsa I maritime block off the coast of Mar del Plata in 2010 which will demand a US$ 60 million investment.

Petrobras also has plans for a second exploratory area in Enarsa II, together with Repsol YPF and Argentina's energy company Enarsa.

"Offshore exploration demands huge investments, developing a complex logistics and results will be seen on the long term, so it's a big bet," said Oddone.

He added that given the recent excellent discoveries along the Brazilian southern continental platform, "we're working in the articulation of structural geological studies from the sea beds in Brazil and Argentina."

Regarding fuel shortage in Argentina Oddone pointed out that "there are no limits to sales, maybe there are temporary delays but it's not company policy." He added that Petrobras keeps investing in two of its refineries to help increase the provision of liquid fuels.

When asked about the Argentine government policy regarding hydrocarbons prices for the domestic market, Oddone said that "the prices policy is set by the government and we work according to those conditions, but always keeping present the long term."

"We're already producing 30% more than last year in our refineries and we still remain interested in building another refinery in association with the Argentinean government," said Oddone.

He also mentioned that that association refining interest is extensive to other oil corporations.

Mercopress

Tags:

  • Show Comments (0)

Your email address will not be published. Required fields are marked *

comment *

  • name *

  • email *

  • website *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Ads

You May Also Like

Brazil Loosens Its Grip on Airports and Ports Privatizing and Leasing Facilities

The Brazilian government is expecting to raise US$ 1.3 billion with the leasing of ...

RAPIDINHAS

Brazilian Indians who learned the Portuguese and received some schooling are being expelled from ...

Despite US$ 2 Bi Surplus Brazil’s Foreign Debt Still US$ 203.5 Bi

In the month of January, Brazil’s balance of payments (summarizing the country’s economic transactions ...

Brazil Sends Observer to Monitor Bolivia Crisis

Brazil’s special Presidential adviser for International Affairs, Marco Aurélio Garcia, embarked today for Bolivia, ...

Brazil Says No to Iran Invitation to Join OPEC

The Brazilian government has turned down a formal invitation by Iran for Brazil to ...

European Painters Worth US$ 50 Million Stolen During Brazil’s Carnaval

A spectacular robbery of art works by Picasso, Matisse, Monet and Dali marred the ...

To Win China Brazil Needs a Better Cotton

China consumes over a third of the world’s cotton crop and imports over 40% ...

Can Santa’s Reindeers Survive Brazil’s Hot Christmas?

Even in the scorching heat of Rio’s summer, Santa makes his appearance to bring ...

A Little Coffee Maker from Brazil Looks For Coffee Lovers Overseas

The landscape of Volta Redonda, in the interior of the southeastern Brazilian state of ...

Brazil Alerts That 60% of World’s Natural Resources Are Being Misused

At least 60% of the world’s fresh water, sea life, soil and climate have ...