Argentina's YPF teams up with Eni for exploration in offshore Uruguay (updated)

YPF SA

25/11/2025 18:22

Adds YPF source from Argentina, adds final three bullet points

MILAN/BUENOS AIRES, Nov 25 (Reuters) - Italian energy group Eni ENI.MI signed an agreement with Argentina's state oil producer YPF YPFDm.BA to acquire a 50% stake and operatorship in the exploration block OFF-5, in Uruguay's offshore, both companies said on Tuesday.

The block, currently operated by a company fully owned by YPF, is in its first exploration period.

Eni said the block is highly prospective and strengthens its exploration portfolio, which combines near-field and infrastructure-led prospects with selected high-impact opportunities.

The deal will take effect after approval by Uruguay's authorities.

The agreement builds on Eni's existing collaboration with YPF in the development of gas resources from the Vaca Muerta field in Argentina.

YPF CEO Horacio Marin told an energy conference in Montevideo on Tuesday that Eni plans to run 3D seismic studies in 2026 and prepare a business case for drilling.

The OFF-5 area spans approximately 17,000 square kilometers and reaches a maximum depth of 4,100 meters, located 200 kilometers off the Uruguayan coast.

"This agreement with Eni allows us to take a step towards offshore exploration," Marin said.

(Reporting by Francesca Landini in Milan and Eliana Raszewski in Buenos Aires, editing by Gavin Jones)

((francesca.landini@thomsonreuters.com; +39 02 66129437; Reuters Messaging: reutersitaly.thomsonreuters@reuters.net/))