Page 14 - LatAmOil Week 42 2022

LatAmOil NEWS IN BRIEF LatAmOil

INVESTMENT
Petrobras confirms

signing of Petros Plan

Petrobras informs that today it has signed
the Private Instrument of Confession of Debt
that formalises its commitment to pay the
extraordinary employer contributions of the
Deficit Equalisation Plan - 2015 (PED 2015),
implemented in 2017, with the Renegotiated
and Non-Renegotiated Petros Pension Plans
(PPSP-R and PPSP-NR).
Payments of the extraordinary contribu- barrel, and (iii) a fee on Trafigura’s share of total expires in 2053 and has no pending investment
tions were not previously made because of court production to compensate Vista for all operat- commitments.
injunctions. The new Deficit Equalisation Plan ing expenses, G&A expenses, midstream costs Vista Oil & Gas, October 12 2022
(New PED) was approved in 2020 and con- within the block and well abandonment costs.
sidered the refinancing of these uncollected b) Vista remains operator of the block and
contributions from the PED 2015 by charging 100% title holder of the Bajada del Palo Oeste PERFORMANCE
Petrobras and the participants of said plans. concession. With respect to the pads included in
The amount concerning Petrobras is the Agreement, Vista: (i) retains its rights over Trinity Exploration
BRL1.1bn, with the payment of BRL229mn in 75% of the hydrocarbon production, (ii) bears
October 2022, referring to the amounts not col- 75% of the capital expenditures, as well as the announces Q3-2022
lected in the period from July 2020 to December corresponding royalties and direct taxes, and
2021. The amount of BRL885mn, referring to the (iii) bears all other costs, including operating and operational update
falling due installments, will be paid according to midstream costs within the block.
the payroll in counterpart to the collection of the In conjunction with the Agreement, Vista Trinity Exploration & Production has provided
participants/assisted portion. and Trafigura have extended by 12 months the an update on operations for the three-month
The effects of the deficit equalisation plans previous crude oil sales and purchase agree- period ended September 30, 2022.
have already been recognised in the finan- ment, pursuant to which Vista shall sell to Tra- The Company maintained robust produc-
cial statements of the years in which they were figura 380,000 barrels of crude oil per month tion in the Period, leading to a 25% increase
implemented. during the first semester of 2023 and 345,000 in operating cash flow, before corporate taxes
Petrobras, October 18 2022 barrels of crude oil per month during the sec- and pre-hedging. The first two wells of the six-
ond semester of 2023, at a purchase price to be well, fully-funded onshore drilling campaign
Vista Energy announces agreed by the parties according to market price were safely drilled, completed and brought
and conditions.
into production during the Period. These wells
new joint venture with free cash flow generation beyond the objectives rate of approximately 113 bpd of oil. The third
This Agreement allows Vista to increase its commenced production at an initial aggregate
Trafigura in Vaca Muerta laid out by Vista in its 2022-2026 strategic plan, well in the programme has subsequently been
contributing to: (i) further reduce gross debt, drilled successfully and is in the process of being
Vista Energy has announced that its whol- (ii) distribute capital to shareholders through completed, with production anticipated to com-
ly-owned subsidiary Vista Energy Argentina share buy-backs or dividends, and (iii) acceler- mence within the next two weeks.
has established an un-incorporated joint venture ate investment in Vaca Muerta, in particular in Extended supply chain lead times for spe-
and has entered into an investment agreement midstream infrastructure projects, to generate cialist drilling tools will result in a delay to the
with Trafigura Argentina for the joint develop- profitable growth driven by the export market. Company’s planned horizontal well, which
ment of 3 pads in Bajada del Palo Oeste. Additionally, the Agreement allows the Com- is now expected to be drilled in Q2-2023. The
Under the terms of the Agreement, which is pany to further consolidate its relationship with Company has taken the decision to delay the
effective as of October 1, 2022: Trafigura as a strategic partner. fourth conventional well in the programme,
a) Trafigura (A) has a contractual right over About Bajada del Palo Oeste: Bajada del Palo which was scheduled to be drilled immediately
25% of the hydrocarbon production of the pads Oeste is Vista’s main shale oil development in in advance of the horizontal well, to create oper-
included in the Agreement, (B) bears 25% of the Vaca Muerta. Full field development started in ational synergies with the rig operations across
capital expenditures, as well as the correspond- the second half of 2018. Proved reserves were these two wells. The Company is actively look-
ing royalties and direct taxes, with respect to the 155.0mn barrels of oil equivalent (boe) as of ing to drill the planned deep well, or additional
pads included in the Agreement, and (C) will December 31, 2021, and production was 29,729 conventional wells, in advance of the horizontal
pay Vista: (i) $1,700,000 for each tied-in well boe per day (boepd) during the second quarter well, but any decision will be subject to matters
(equivalent to $6,800,000 for a 4-well pad), (ii) of 2022, having tied-in 47 new wells to such date. outside of the Company’s control including reg-
a fee, capped at $12.5 per barrel, over Trafigura’s The Company has identified up to 550 new well ulatory approvals and supply chain constraints.
share of total production to compensate Vista locations in Bajada del Palo Oeste. The block The Company’s production guidance for
for any improvements in international crude oil has received from the Province of Neuquén an 2022 remains unchanged at 2,900-3,100 bpd of
prices above $60 per barrel and up to $110 per unconventional exploitation concession which oil.

P14 www. NEWSBASE .com Week 42 19•October•2022