Shell's Aranguren: energy self-sufficiency possible but Argentina must do 'homework'
Energy self-sufficiency may be looming on Argentina’s scenario, chairman of Shell Argentina Juan Aranguren said warning the South American country should “do homework” and “show judicial security signs” to investors.
“Argentina is now importing 12-13 percent of primary energy. But funny thing is that energy exists in the country in resources and all the world is talking about the potential of non-conventional hydrocarbon exploitation,” Aranguren pointed out in an interview with a daily newspaper.
“If we create the conditions for investment, to turn those resources in reserves, not only will we be eliminating 12.5 billion dollars in annual energy imports but we will be also having a flow of currency that will allow to reset the value of the (peso) currency,” the Shell head added warning such scenario will depend on what he called “judicial security signs.”
“Everything will depend on signs of judicial security. Rather for need than virtue, Argentina will have to create that circumstance. If not, it will be unsustainable to manage an annual deficit of 12.5 billion dollars when we do not have the reserves to cope with it.”
Queried about prospect in the resource-rich Vaca Muerta region in which the energy firm has thee projects, Aranguren said the quality of resources was “the same or superior to some non-conventional formations in the United States.” “We are optimistic,” he assured.