Chubut Governor Ignacio Torres participated in the announcement at the Economy Ministry’s Palacio de Hacienda alongside Economy Minister Luis Caputo, PAE Group CEO Marcos Bulgheroni, and union representatives including Jorge Ávila of the Private Oil and Gas Union of Chubut. Torres emphasized the investment reflects confidence in the province’s hydrocarbon potential and underscored the role of public-private coordination in sustaining employment and regional economic activity.
The enhanced recovery system will inject polymers to increase fluid viscosity and improve oil displacement toward production wells. PAE projects cumulative incremental production of 24 million barrels over the project’s operational life, with peak output exceeding 11,300 barrels per day. The company indicated the development will increase provincial royalty revenues tied to incremental production and enable economic viability of previously marginal zones within the basin.
The project involves preparing existing well infrastructure for polymer injection rather than exclusively drilling new wells, reflecting a focus on optimizing recovery from established assets. Tertiary recovery techniques are applied after conventional methods to maximize extraction from reservoirs approaching natural production decline.
Senior PAE executives attending the announcement included Upstream Managing Director Fausto Caretta, Vice President of Institutional Relations Daniel Felici, Vice President of Labor Relations Sergio Faraudo, and Vice President of Operations in Gulf San Jorge Tomás Catzman. Federal representation included Energy and Mining Coordination Secretary Daniel González and Chubut Hydrocarbons Minister Federico Ponce. The project aligns with broader national policy promoting strategic energy investments through fiscal and regulatory incentives under the RIGI framework.
This article was curated and published as part of our South American energy market coverage.
