Argentina's Mendoza reveals offers in hydrocarbons tender

Argentina's Mendoza province opened 11 bids for seven areas in its hydrocarbons tender on Thursday, with offers exceeding the government's expectations.

"This bidding process has received the largest number of companies and offers. Of the 11 projects on offer, there was interest in seven of them. Another tender will be called for the four areas that are left," the province's economy minister Martín Kerchner (pictured, opening box) said at the opening event.

Mendoza, hoping to draw a minimum of US$31.8mn in investment for the exploration areas, received offers for US$40.6mn. For production over the next 10 years, the government received offers for US$35mn, three times greater than the US$8.2mn it had expected, it said in a release.

Federal oil company YPF presented offers for five areas: Puesto Pozo Cercado Oriental, Occidental, Los Parlamentos, CN7A and CN3 Norte. One offer is for production and the rest for exploration.

Aconcagua Energía bid on the Atuel Norte and Pozo Cerrado Oriental areas, both for production. GyG also bid on Atuel Norte.

Finally, El Trébol bid to produce in the Pozo Cerrado Oriental area and explore the CN7A and Loma Cortaderal Cerro Doña Juana areas.

Selva María/Integra Oil was the only group that was eliminated from bidding, for legal reasons.

Kerchner said analysis of the bids will be completed in about a month.