Total, Wintershall to invest $2.1 billion in Argentina natural gas production
BUENOS AIRES -- Total and Wintershall will each invest about $1 billion in Argentina over the next five years to boost natural gas production, the Argentine government said in a statement.
Total will invest $1.1 billion, while Wintershall will invest $1 billion in projects that will increase the country' s annual natural gas output by 3.1% between 2013 and 2017, according to the statement. Increased output from the investments is expected to total 12 Mcfmd.
Argentina is on a big push to try and attract investment in its energy sector to boost output.
Oil-and-gas production has declined in recent years while has demand soared, turning Argentina into a net energy importer and forcing the government to spend billions each year on gas and fuel imports. In 2011, Argentina spent more than $9 billion on imported energy.
Last year, the government nationalized a controlling stake in YPF from Repsol, accusing the company of bleeding YPF dry with dividends and failing to invest. Now, the government is pouring billions into expanding YPF' s production.
Dow Jones Newswires