Uruguay has become the new focus of energy interest following the agreement between the Argentine oil company YPF and the Italian Eni to jointly explore the OFF-5 offshore block, located some 200 kilometers off the Uruguayan Atlantic coast.
The potential of the OFF-5 block is comparable to that of Namibia
The OFF-5 block covers an area of approximately 17,000 km² and reaches depths of up to 4,100 meters. Recent studies have revealed geological similarities with the Orange Basin, located offshore Namibia. Namibiawhere significant oil discoveries have been made in recent years.
This comparison supports the companies’ interest in advancing intensive exploration in the South American Atlantic margin.
Distribution of functions and approvals in progress
According to the agreement signed, Eni Uruguay Ltd.Eni Uruguay Ltd. assumes a 50% interest in the block and will take over the operation once the Uruguayan authorities grant final approval.
This cooperation allows YPF to add international experience in offshore projects, a modality in which the Argentine firm has little operating history.
YPF’s CEO, Horacio Marín, highlighted that the collaboration with Eni strengthens its growth strategy by incorporating technology and global knowledge in a region considered strategic. The OFF-5’s location on a geological structure shared with the African margin suggests a high potential for hydrocarbon finds. hydrocarbon discoveries.
Strengthening cooperation between companies
This new step is in addition to the understanding previously signed by both companies to advance in the development of the Argentina LNG project, which evidences a long-term relationship aimed at integrating technical capabilities to consolidate energy supply in the Southern Cone.
Thus, the commitment to the OFF-5 block not only opens up possibilities for Uruguay as a producer country in ultra-deep waters, but also positions the region as a key axis in the new global offshore exploration cartography.
Source: YPF SA
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