Clevelan-led Consortium Wins Seven Argentine Blocks

The Argentine consortium of Clevelan Petroleo Argentina, Integra Investment and Kilwer has won seven blocks in Chubut province, according to a provincial government statement.

The blocks are Rio Senguer, Paso Moreno, Rio Genguel Norte, Buen Pasto, Sierra Cuadrada, Nueva Lubecka and Paso de Indios.

The consortium bid US$50 million for the six-year exploration period and now has four months to conduct an environmental impact study, a source at the provincial hydrocarbons department told BNamericas.

If hydrocarbons are found, the consortium could sign a 25-year production contract.

"They are blocks on which practically no one has done seismic," Clevelan's director of operations Alejandro Alvarez de Toledo said in a brief interview about the seven blocks.

"Now, there could be another reason for the choice of these blocks which could be very good, but I can't tell you anymore," he said. "There is a reason why this all could become very important."

The company has yet to sign the ground permits with landholders.

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