MADRID (AP) — Spanish energy firm Repsol warned Monday that it would consider legal action against companies or investors that help Argentina exploit oil fields Repsol had planned to tap before its Argentine unit YPF was nationalized.
Repsol discovered vast shale oil and gas deposits under the “Vaca Muerta” (“Dead Cow”) basin of Neuquen province that could dramatically increase Argentina’s oil reserves.
Experts say Argentina will need strategic partners to tap the world’s third-largest unconventional reserves, and Argentine officials have wasted no time in lining up potential investors. They met last week with executives of French-owned Total Austral and Brazil’s Petrobras, announcing afterward that both planned to expand production.
They planned to meet Monday with executives from Chevron and ExxonMobil, which have their own shale stakes in Argentina, and Apache, which began drilling through shale there last year.