Chile's Enap Sipetrol has acquired an offshore block, Octans Pegaso, on the Argentine continental shelf off the coast of Patagonia province of Santa Cruz. The block covers 886 square kilometers and is 20kms off Santa Cruz coast at its closest point to land. It was purchased from the consortium made up of Total Austral (35%), Wintershall (35%) and ENI (30%).
It is a project with great potential, with a scale of very important production and expected reserves. The new area opens new business opportunities and will enable us to substantially increase the level of our natural gas reserves to ensure the sustainability of the company, Eduardo Tapia, Enap General Manager said.
Enap Sipetrol has been operating in the Austral Basin for 26 years and recently was awarded the on shore El Turbio Este block, to the east of Santa Cruz province.
This way Enap Sipetrol incorporates an asset which allows us to think not only in growth and the incorporation of new reserves, but also to provide in the future an increased supply of hydrocarbons to Argentina and the region, added Tapia.
The Octans Pegaso exploitation contract will be effective until September 2031 with an additional ten year option.
The decree authorizing the offshore award was published in the Santa Cruz official gazette, and to be completed must also have the approval of the federal ministry of Energy and Mining. ENAP Sipetrol is the Argentine branch of the Chilean government hydrocarbons company.