Exploration & Production

Currency woes threaten Argentina’s Vaca Muerta

The devaluation of the Argentine peso is not all bad news for shale producers, but they may soon feel a knock-on effect from the crisis The devaluation of the Argentine peso is not all bad news for shale producers, but they may soon feel a knock-on effect from the crisis.
By Chris Noon 23 July 2018 0 31843
Argentine interest rates

The crash of the Argentine peso could cause a slowdown in the development of Argentina’s Vaca Muerta formation. Buenos Aires hiked interest rates in response to the currency problems, which has pushed up borrowing rates for service companies in the shale play. This has forced them to command high fees from explorers to cover their financing costs. 

US dollarArgentine peso exchange rate

The peso has lost nearly 40% of its value...