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01-06-2012 20:22:00

Chile's ENAP Recovers Revoked Argentine Concession

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SANTIAGO -(Dow Jones)- Chile's state-owned oil and gas company Empresa Nacional del Petroleo SA, or ENAP, recovered the Southern Argentine concession revoked in March by Chubut province, ENAP said in a statement Friday.

ENAP lost the Campamento Central-Canadon Perdido oil field because the field's operator and ENAP's partner in Argentina, the then-privately held oil company YPF SA (YPF, YPFD.BA), was at odds with the Argentine government, which argued the field lacked investment.

The dispute between Argentina's government and YPF ended with President Cristina Kirchner decreeing the expropriation of YPF from Spain's oil company Repsol YPF SA (REPYY, REP.MC).

ENAP's international unit, Sipetrol Argentina SA, holds 50% of the Campamento Central-Canadon Perdido oil field, with YPF holding the remainder.

The field produces 5,000 barrels a day, and ENAP invested $47 million in it as of Sept. 30, 2011.

ENAP Sipetrol Argentina holds another three Southern Argentina concessions, which it is currently exploring.

-By Graciela Ibanez, Dow Jones Newswires; 56-2-715-8929; graciela.ibanez@dowjones.com

(END) Dow Jones Newswires

June 01, 2012 14:22 ET (18:22 GMT)

Copyright (c) 2012 Dow Jones & Company, Inc.

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