Petronas and YPF to collaborate on LNG project in Argentina
Malaysia’s LNG giant Petronas has signed a deal with Argentina’s oil and gas company YPF to collaborate on an integrated LNG project and clean energy solutions.
On 1 September, Petronas signed a memorandum of understanding (MoU) with YPF to pursue collaboration in Argentina in an integrated LNG project and other areas, including upstream oil, petrochemicals, and clean energy solutions.
In addition, YPF and Petronas’ operating entity in Argentina, Petronas E&P Argentina executed a joint study and development agreement (JSDA) towards the study and potential development of the Argentina Integrated LNG project.
This LNG project will encompass dedicated upstream gas production, dedicated pipeline and infrastructure development, LNG production as well as marketing and shipping.
The final investment decision for the projects will be undertaken after technical and commercial assessment has been conducted, backed by conducive fiscal terms, legislation and policies.
Pteronas CEO Datuk Tengku Taufik said: “Petronas is focused on expanding and diversifying our integrated opportunities to capture key markets. This collaboration signifies a continued aspiration to achieve shared business growth, as well as in providing sustainable and cleaner energy solutions.”
“Petronas’ expertise in integrated LNG and unconventional plays will add value to the intent and synergy of both parties in further exploring potential LNG opportunities in Argentina, leveraging on Vaca Muerta’s vast unconventional gas resources,” he added.
The alliance between the two companies started in 2014 through the partnership in the La Amarga Chica project, Vaca Muerta.