Dead Cow bounce: Shell and Equinor dig deeper into Patagonian shale oil
Gas and oil giant Shell, together with its counterpart Equinor, takes an interest in an Argentinian shale oil and shale gas field. This is Bandurria Sur, part of a larger area in northern Patagonia, called Vaca Muerta. The field currently supplies 10,000 barrels of oil equivalent per day.
The US EIA estimates total recoverable hydrocarbons from this Vaca Muerta Formation to be 16.2 billion barrels (2.58×109 m3) of oil and 308 trillion cubic feet (8.7×1012 m3) of natural gas.
The two parties entered into an agreement for a minority interest of 49 percent. That interest is distributed proportionally. Shell and Equinor each pay $ 177.5 million. The energy companies also reached a provisional agreement on an additional 11 percent interest in the project.