Wintershall Dea and ConocoPhillips Join Forces in Argentina’s Prolific Neuquén Basin

Source Press Release
Company Wintershall Dea GmbHConocoPhillips 
Tags Asset Deals, Deals, Shale Oil, Shale Gas, Unconventional Resources, Upstream Activities
Date July 25, 2019
  • ConocoPhillips is new partner in the Aguada Federal and Bandurria Norte blocks
  • The two companies will advance the development of the significant Vaca Muerta shale resources in the blocks

Wintershall Dea is pleased to announce that it has signed a Sales and PurchaseAgreement with ConocoPhillips, to jointly develop the Aguada Federal and Bandurria Norte blocks in the central Argentine province of Neuquén. The blocks hold significant unconventional oil and natural gas resources in the prospective Vaca Muerta shale formation. Under the terms of the agreement, Wintershall Dea shall continue as operator of the licenses.

"ConocoPhillips’ extensive know-how developed across unconventional operations in US shale plays complements Wintershall Dea's technological expertise and decades of local experience. We are excited about this new partnership as it will allow us to expedite the development of the two blocks," says Thilo Wieland, member of Wintershall Dea board, responsible for Latin America. Wintershall Dea has already successfully conducted pilot projects in both blocks. The production testing is currently ongoing.

The transaction is expected to be closed in 2019, subject to approval by the relevant authorities.

As part of the transaction ConocoPhillips will acquire a 45% interest share in the Aguada Federal block situated in the Neuquén basin. Wintershall Dea as the operator will retain a 45% share in the block (97 km2). The remaining 10% are held by Gas y Petróleo del Neuquén S.A. (GyP).  ConocoPhillips will also acquire a 50% share in the nearby Bandurria Norte block (105 km2). Wintershall Dea will retain the other 50% and will remain operator of the block.

Source: EvaluateEnergy® ©2020 EvaluateEnergy Ltd