MercoPress. South Atlantic News Agency
With a subsidy production scheme, Argentina is back exporting oil, mainly to China
Argentine oil producers are shipping record volumes of crude this month, spurred by a new government subsidy that has also prompted state-owned oil company YPF to return to the export market for the first time in years. Read full article
Comments
Disclaimer & comment rulesMean while we are getting raped at the pump.
May 02nd, 2016 - 10:51 am - Link - Report abuse 0It now costs me USD $100 to fuel up.
Argentina won't be able to afford this for long.
May 02nd, 2016 - 10:59 am - Link - Report abuse 0You can't fight Mr Market
@1 That is because about 70 percent of the pump price for naftas is... tax.
May 02nd, 2016 - 04:02 pm - Link - Report abuse 0Down here, in the patagonian provinces (south of latitude 42), we have a small relief from part of those taxes. I think last year the lower-tax zone was extended to include Bariloche and other places in that region. When you are paying about 17 pesos per litre in Bs As for YPF normal grade, we are paying about 11. The payaso chubutense can weigh in on what they are paying right now but I suspect it's close to 11 pesos/litre.
If you have the right credit/debit card here you can get an effective 10 to 20 percent reduction in your billing vs the pump price.
But inflation is still looking like 40 percent for the year and the increases in fuels is part of that. Fuel prices have gone up here almost 20 percent just since January and the new adjustment will bring that up to about 30 percent since January. And the clueless are saying how Macri is going to bring inflation under control?
Nothing has changed.
To be truthful I did not know Argentina had oil to export,
May 02nd, 2016 - 07:18 pm - Link - Report abuse 0why then do they want the Falkland's oil if they have their own.
@4 Briton,
May 02nd, 2016 - 08:19 pm - Link - Report abuse 01) Greed
2) They don't know why they want the Falklands-its been hammered into their skulls since they were 4 years old, that the Falklands were “stolen” from them.
3) Because they are plonkers.
@4 Argentina used to be a significant exporter of both natural gas and petroleum products. In the mid 1990s it was exporting about three times as much petroleum as it was consuming domestically. After about 1998 production started to plummet along with the decline in conventional reserves. Even the conventional reserves are not of a very desirable quality. The unconventional reserves that Argentina is counting on are comparatively more difficult and more expensive to develop and Argentina has to rely on foreign technology and services companies such as Chevron, but the deal with Chevron is full of monkey-motion. Most foreign oil companies view Argentina as an exceptionally risky place to invest. But the Macri government is counting on these crude oil sales to China to bring in a little cash or at least offset the payments Argentina must make to cover Chinese loans (credits). These sales are not likely to make much of a dent in the huge deficit facing the Macri government. .
May 03rd, 2016 - 02:05 am - Link - Report abuse 0With the new Government, Argentina seems to be on the road to recovery at long last. Hopefully UK/Argentine relations can now advance.
May 03rd, 2016 - 08:16 am - Link - Report abuse 0Apart from being arrogant, loud mouthed, parasites, the Kirchners and their hangers on will soon be forgotten.
6 Marti Llazo
May 03rd, 2016 - 08:27 am - Link - Report abuse 0”But the Macri government is counting on these crude oil sales to China to bring in a little cash or at least offset the payments Argentina must make to cover Chinese loans (credits).”
Like everything else you claim, is simply your unsupported sophism, totally lacking any proof. Do you expect us to believe you know Mr Macri's thoughts.
6. Agree, they have little choice to get hard $ or loans. They can't count on Brazil for the next year or 3 to start buying again.
May 03rd, 2016 - 11:28 am - Link - Report abuse 0CFK really stuck Macri with a lot of lose/lose propositions.
@7 “ ....the Kirchners and their hangers on will soon be forgotten...”
May 03rd, 2016 - 02:09 pm - Link - Report abuse 0Not likely. The investigations and prosecution and trials and news of imprisonment and recuperation of ill-gotten KK-related gains.... all of that is likely to remain in the news for a long time.
Along with the news of other protests and economic crises and announcements by Argentina that it won't honour XXX obligations and the next default just around the corner.
Thanks people,
May 03rd, 2016 - 06:52 pm - Link - Report abuse 0good blog
Commenting for this story is now closed.
If you have a Facebook account, become a fan and comment on our Facebook Page!