Argentine shale pioneers weigh yield, as well as costs
Drilling in Neuquén province, home of the Vaca Muerta shale. (PA)
Argentina’s unconventional gas producers could improve the economics of their projects if they look beyond costs and squeeze more production from their wells, a Wood Mackenzie expert told conference delegates in Buenos Aires last week. However, the economics of tight gas production in the country continue to be favourable.
“Higher costs are not necessarily negative as long they result in an uplift in production,” Horacio Cuenca, a Rio de Janeiro-based upstream research director for Latin America at Wood Mackenzie, told the Argentina Shale Oil and Gas Summit in Buenos Aires.