Shell recently opened a 10,000-bpd oil and gas treatment plant in its acreage in the Vaca Muerta shale formation in Argentina. The construction project was first announced in 2014 as part of Shell’s development strategy for the play, where it operates the Sierras Blancas, Cruz de Lorena and Coiron Amargo Sur Oeste oil and gas blocks.
The company previously stated it would pour USD $300 million annually into its Vaca Muerta operations until 2020, both in upstream and downstream operations. The Vaca Muerta formation is estimated to hold some 16.2 billion barrels of crude oil and 308 trillion cubic ft. of natural gas, which makes it the second-largest in terms of gas reserves.