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    Chevron scores Vaca Muerta concession

Summary

The US major has committed to drilling at least five horizontal wells during the pilot phase.

by: NGW

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Natural Gas & LNG News, Americas, Top Stories, Corporate, Exploration & Production, News By Country, Argentina

Chevron scores Vaca Muerta concession

Chevron has landed a concession for shale drilling in Argentina's Vaca Muerta play, committing the US major to invest at least $79mn in a pilot phase, the local government reported on April 11.

The concession, awarded by the Argentine province of Neuquen, covers the 283-km2 El Trapial Este block. Chevron has committed to drilling at least five horizontal wells during the pilot phase.

Vaca Muerta is the world's largest shale oil reserve and the second largest shale gas reserve. Argentina is banking on the play to reduce its energy deficit, but it has struggled to put in place the right incentives to spur investment.