Santa Cruz Drives Oil Drilling Operations with $7.2 Million Investment
The province of Santa Cruz is taking a significant step to revitalize its oil production through a new drilling campaign, representing a $7.2 million investment. The initiative, announced by Minister of Energy and Mining Jaime Álvarez, involves the drilling of three wells in the Koluel Kayke and Piedra Clavada fields, operated by Crown Point Energía.
The new wells, which will reach depths between 2,400 and 2,600 meters, will target various geological formations, including Mina El Carmen, Caleta Olivia, and D-129. One of the wells will be exploratory in nature, focusing on gathering information about the D-129 formation's hydrocarbon potential, a key aspect for future investment in the region.
Initial projections indicate that each well could produce approximately 30 cubic meters daily, totaling around 90 cubic meters across the three wells. Beyond production increases, this activity is expected to generate between 85 and 90 jobs, both direct and indirect, by activating the services required for operations.
Impact on Energy Development
Álvarez emphasized the campaign's significance in terms of employment recovery and fostering activity in the San Jorge Gulf Basin. He stressed the importance of gaining greater understanding of the D-129 source rock, which could unlock opportunities for unconventional hydrocarbon development in northern Santa Cruz.
The minister also highlighted the recent arrival of new operators to northern Santa Cruz, replacing those previously managed by YPF, representing an opportunity to expand exploration in the region. Companies such as Panamerican Energy, CGC, Crown Point, and ALPA are involved in this process. "What matters most is that all companies invest in the development of mature conventional hydrocarbons," Álvarez stated, noting that this also requires reactivating idle wells and conducting maintenance work.
Santa Cruz's energy strategy aims not only to increase current production, but also to explore new production alternatives, particularly in key formations that could transform the province's hydrocarbon future.