State oil company gains full control of YPF Luz

YPF reached an agreement to acquire the 24.99% stake it lacked in YPF Luz, its electric power subsidiary, for 430 million dollars. The transaction was approved by YPF's Board of Directors on October 8 and is subject to customary conditions for this type of operation.

With this acquisition, YPF will consolidate full control over YPF Luz, which has an installed capacity of 3.8 GW and operates actively across eight provinces. The company currently supplies approximately 10% of national electricity. Horacio Marín, YPF's president, highlighted that this purchase represents progress toward transforming the company into a global energy leader.

YPF Luz was established in 2013, focusing on electric power development. In 2018, General Electric joined as a shareholder, providing support for its expansion. Once this transaction closes, YPF will be the sole owner of YPF Luz, which is positioned as a growing company ahead of a potential initial public offering that would allow it to trade independently on Wall Street.

Among YPF Luz's plans stands the El Quemado Photovoltaic Solar Park, located in Mendoza. This project, considered the largest of its kind in the country, will have a capacity of 305 MW and is expected to generate sufficient electricity to supply more than 233,000 households.

The project contemplates the use of 500,000 solar panels and a new transformer station that will connect it to the Argentine Electricity Interconnection System. This advance aligns with YPF's goal of reaching one gigawatt of installed renewable capacity by 2026, supporting its energy diversification and sustainability strategy.