Continental Sources has signed an asset sale and buy settlement with Pan American Vitality to accumulate non-operated pursuits in 4 blocks inside Argentina’s Vaca Muerta shale play, additional strengthening its footprint in one of many world’s most prolific unconventional basins.
The property are situated within the Neuquén basin and can stay operated by Pan American Vitality. Monetary phrases of the transaction weren’t disclosed.
The settlement builds on Continental’s current enlargement efforts in Argentina. In November, the corporate signed a separate sale and buy settlement—topic to closing situations—to accumulate operated pursuits within the Los Toldos II Oeste block, signaling a broader technique to ascertain a long-term place in Vaca Muerta via each operated and non-operated investments.
“Vaca Muerta is likely one of the most compelling shale performs on the planet, and we’re thrilled to proceed to spend money on Argentina and construct Continental’s place via this settlement with Pan American Vitality,” stated Doug Lawler, president and CEO of Continental Sources. He added that Pan American Vitality’s deep basin expertise creates alternatives for technical collaboration as growth exercise advances.
Beneath the settlement, Continental’s non-operated place is anticipated to help data sharing throughout subsurface characterization, growth planning, completion design evolution, working practices and infrastructure growth. The corporate stated this method will enable it to speed up basin studying whereas leveraging its intensive expertise in large-scale shale growth in america.
Pan American Vitality CEO Marcos Bulgheroni described the transaction as a strategic step towards accelerating growth of the property. “This relationship with one of many main unbiased oil and gasoline corporations in america goals to advance the event of the 4 areas,” Bulgheroni stated, noting that Continental will contribute technical experience targeted on de-risking and operational effectivity.
Continental stated the newest settlement aligns with its long-term worth technique of taking part in world-class unconventional sources globally whereas making use of confirmed shale growth practices throughout a number of geographies.
“These current transactions in Argentina strengthen Continental’s long-term worth technique,” Lawler stated. “We take a long-term view of useful resource growth, no matter geography.”
