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Shell Starts New Processing Plant in Vaca Muerta to Boost Output

The launch underscores Shell's $700 million yearly commitment to scaling output in Vaca Muerta.

Overview

  • Shell commissioned the Early Processing System at the Bajada de Añelo block after roughly $500 million in spending, operating the area in a 50/50 partnership with YPF.
  • Designed capacity reaches up to 20,000 barrels of oil per day and 2.5 million cubic meters of gas per day, using advanced automation to optimize efficiency and safety.
  • The plant is currently running at about half capacity, producing around 8,000 barrels of oil and 1.2 million cubic meters of gas per day.
  • Development plans include drilling seven new wells in 2026 and four in 2027, within Shell Argentina’s stated annual investment program of about $700 million.
  • Company executives dismissed reports of a potential asset sale in Argentina, emphasizing continued investment and operations in Vaca Muerta.