Judge demands details of Chevron-YPF deal

31 December 2014, News Wires – A judge in Argentina has reportedly ordered state-run energy company YPF to fully disclose details of its contract with US supermajor Chevron to explore the Vaca Muerta shale in the South American country.

The ruling, reported by Reuters, follows an ongoing investigation into Chevron’s award of the farm-in agreement from YPF. Critics have said the contract has numerous secret clauses and was awarded with a lack of due process and an abuse of authority.

Gavel.judge.justicepegChevron signed the deal in 2013 in what accounted for the largest foreign investment in Argentina’s energy sector since the government seized Spanish giant Repsol’s controlling stake in YPF.

“Everything done by YPF is within the law,” YPF said in a statement to Reuters.

Judge Maria Jose Sarmiento gave YPF 10 working days to provide details of the contract, according to Reuters, which cited the judiciary’s internal news agency.

YPF said it would appeal the ruling and that it met all obligations required of a company listed in Buenos Aires and New York.

Under the contract, Chevron and YPF would jointly explore the Loma Campana sector of the Vaca Muerta, one of the world’ largest shale oil and gas formations.

– Upstream
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