New goals at Vaca Muerta
Represented by Martín Bengochea and Jorge Herrera, Tecpetrol attended the first Midstream Conference in Neuquén, organized by the Comahue chapter of the IAPG.
The industry’s first Midstream Conference was held in the capital of the Vaca Muerta development for representatives from the main operators and service companies in the oil and gas sector. Tecpetrol’s Vice President of the Neuquén Basin, Martín Bengochea, was joined by Jorge Herrera, Regional Operations Director, at the event organized by the Neuquén-based division of the IAPG (Argentine Institute of Petroleum and Gas).
The discussion zoomed in on midstream activities—transporting, storing, and marketing hydrocarbons—and the hurdles companies face in efficiently and profitably getting these resources to market. At the close of the first day, Martín spoke on the panel entitled “Evolution of natural gas demand and its impact on projects and hydrocarbon production in the Neuquén Basin”, flanked by YPF’s Pedro Locreille and Marcelo Asis from Shell Argentina. During the morning session on the second day, Jorge gave a presentation on the “Development of Midstream Facilities in the Fortín de Piedra Field. Optimization of input quality and processing capacity requirements.”
Martín began his talk by reviewing the company’s main achievements to date: “When we launched Fortín de Piedra in 2017, shale gas contributed 5 million m3 per day. Today we are producing 75 million per day, and as a whole, the Neuquén Basin’s output comes to over 110 million. As an industry, we have made great progress: at Tecpetrol alone, we have connected over 150 wells. In the Neuquén Basin, we have enough stock to meet over 100 years of demand. Our challenge now is to expand that demand, explore new markets, and maximize our gas potential.”
Jorge spoke about the construction of midstream facilities at Fortín de Piedra, which he described as “a turning point in Vaca Muerta developments.” How could the company plan the evacuation of gas from a project moving ahead at such unprecedented speed? Step by step: “In 18 months, the field went from producing 0 to 16 million m3 of gas. We adapted an EPF (Early Processing Plant) in the initial stage to condition gas dew point while the CPF (Central Processing Plant) was being built. This enabled us to reach 7 million m3 in June 2018, and 16 million by February 2019.”
A series of crucial improvements have been made since then, and today, Fortín de Piedra is producing 24 million m3 per day. “Today, we are at the upper limit in terms of the capacity of our pipelines and plants. Any increase in production will require additional facilities.” A scenario which inevitably raises the question of what’s next. According to Jorge, there are three major challenges to be overcome: how to maximize the development of Wet Gas, improve fracture water management and optimize sand production management. “As Fortín de Piedra has reached its limits, to continue growing we must move ahead with new works.”
Martín expanded on the rationale underlying this objective: “We need to build infrastructure, achieve higher efficiency levels and continue to foster an environment of trust. This strategy will enable us to consolidate our foothold in Argentina, penetrate regional markets, and enhance the value of our hydrocarbons through liquefied natural gas (LNG). Stability and compliance with the rules are crucial for investors and buyers to make informed decisions.”