Schlumberger has signed a deal with Argentina’s YPF to start a shale oil pilot project in the South American country.
Schlumberger said it would invest $390million in phases to help develop the Bandurria Sur Block in Vaca Muerta, Neuquén.
The project involves the drilling of 26 wells and the construction of new infrastructure.
Miguel Ángel Gutiérrez, chairman of YPF, Argentina’s biggest energy firm, said: “Bringing a new partner like Schlumberger to Vaca Muerta is strategic for YPF because they offer vast experience in the most important unconventional plays around the globe and a work team that facilitates strengthening our know-how.
“This joint venture, in addition to those signed with other large corporations, reaffirms YPF’s leadership in developing unconventional resources and our commitment to continue working in the pursuit of energy self-sufficiency.”
Schlumberger president Patrick Schorn said: “We are very pleased with the opportunity of working more closely with YPF. By leveraging our reservoir knowledge and track record in unconventional completions, we expect to create operational efficiencies and further reduce development costs in the world-class Vaca Muerta play.”