Vista and Trafigura Argentina’s $250 Million Partnership to accelerate the development of Vaca Muerta

Martinez de Hoz & Rueda advised Trafigura Argentina on the transaction.
Bruchou, Fernandez Madero & Lombardi advised Vista Oil & Gas

Vista Oil & Gas and Trafigura Argentina signed a joint investment agreement for the development of 20 oil wells in the Bajada del Palo Oeste block. This joint investment of approximately USD250 million represents an important capital investment in Vaca Muerta Shale which is located in the Argentine Patagonia and one of the most important shale formations globally.

Vista, the third largest crude producer in Argentina and the second largest shale oil operator in the country, has operated the Bajada del Palo Oeste block for over two years. This is the first strategic agreement that Vista has made with another company to accelerate the development of its main shale oil block which has 28 wells currently in production.

Trafigura is one of the world’s leading independent commodity trading companies, trading over six million barrels of oil per day. In Argentina, Trafigura owns and operates the Bahía Blanca Refinery, the Campana terminal and Puma Energy’s network of more than 350 service stations and 50 agroservices.

Trafigura will invest around USD75 million – of which USD25 million are a purchase price for the 20 percent participation in the production of the wells covered by the agreement, and the outstanding amount the contribution of 20 percent of the investment for their development.

Vista will be the operator of the wells, will keep 80 percent of the production from the wells, and will contribute 80 percent of the investments.

Martinez de Hoz & Rueda advised Trafigura with a team including José Martinez de Hoz (Picture), Pablo Rueda, Tomás Lanardonne,  Maximiliano Batista, Valeria Celesti, Juan Cruz Mazzochi and Clara Speroni.

Bruchou, Fernandez Madero & Lombardi advised Vista Oil & Gas with a team including Santiago Balbi and Matías Leguizamón.

Involved fees earner: Santiago Balbi – Bruchou, Ferna?ndez Madero & Lombardi; Matías Leguizamon – Bruchou, Ferna?ndez Madero & Lombardi; Maximiliano Batista – Martínez de Hoz & Rueda; Valeria Celesti – Martínez de Hoz & Rueda; Juan Cruz Mazzochi – Martínez de Hoz & Rueda; Tomás Lanardonne – Martínez de Hoz & Rueda; José Martínez de Hoz (h) – Martínez de Hoz & Rueda; Pablo Rueda – Martínez de Hoz & Rueda; Clara Speroni – Martínez de Hoz & Rueda;

Law Firms: Bruchou, Ferna?ndez Madero & Lombardi; Martínez de Hoz & Rueda;

Clients: Trafigura; Vista Oil & Gas S.A.U. ;