Energy and Natural Resources

Mendoza Round IV: 12 oil fields for exploration and exploitation

The Government of Mendoza plans to tender 12 oil fields. 

Two areas will be destined for exploitation: the Puesto Pozo Cercado Occidental (Tunuyán) - originally was a single area and then divided into two - and Atuel Norte. Ten new areas will be destined  or exploration: Rio Diamante, CN III Norte, Boleadero, Loma Cortaderal, Cerro Doña Juana, Ranquil Norte, CN VII-A, Chachahuén Oeste, Lomas del Divisadero, and Pozo Cercado Oriental. 

The term to explore the areas may be extended up to five years and after that term the companies would have the possibility to exploit them. In this case, the conditions for the exploitation would be fixed at 12% royalties and 25 years of exploitation term.
Furthermore, the government plans to conduct conventional and non-conventional oil exploration, and it is likely that within the new areas, there could be formations of “Vaca Muerta.”

The government will probably publish the tender in the following 45-60 days.

For further information on this topic please contact Juan Martín Allende and Marcos Patrón Costas