MEXICO CITY, MEXICO (Editors at Energy Analytics Institute, 16.Apr.2025) — Vista Energy, S.A.B. de C.V. announced that its subsidiary Vista Energy Argentina S.A.U has acquired 100% of the capital stock of Petronas E&P Argentina S.A. (PEPASA), which holds a 50% working interest in La Amarga Chica unconventional concession (LACh), located in Vaca Muerta, Argentina, from Petronas Carigali Canada B.V. and Petronas Carigali International E&P B.V.
The purchase price is comprised of $900mn in cash, $300mn in deferred cash payments and 7,297,507 American depositary shares representing Vista’s series A shares (ADSs) paid to the sellers and subject to lock-up restrictions that will expire (i) with respect to 50% of the ADSs on 15 Oct. 2025, and (ii) with respect to the remaining 50% of the ADSs on 15 Apr. 2026. The deferred cash payments will be paid 50% on 15 Apr. 2029, and 50% on 15 Apr. 2030, without accruing interest, Vista announced on 16 Apr. 2025 in an official statement.
“With this acquisition we gain significant scale in Vaca Muerta with a premium block that has growing production and low operating costs, enabling the acceleration of our long-term plan and strengthening our free-cashflow profile. The acquisition both increases our profitability and enhances our portfolio of ready-to-drill locations in the core area of Vaca Muerta,” Vista chairman and CEO Miguel Galuccio said in the statement.
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“Importantly, in the current global macro and oil price environment we are consolidating a high margin, low-breakeven asset, with strong synergies with our ongoing operation, reflecting our constructive long-term view on crude oil demand and supply dynamics. I firmly believe this represents a unique opportunity to create long-term value for our shareholders,” Galuccio said.
LACh spans across 46,594 acres in the black oil window of Vaca Muerta. As of 31 Dec. 2024, it had 247 wells on production. In addition, as of 31 Dec. 2023, LACh had 280 million barrels of oil equivalent (MMboe) of P1 reserves according to the Argentine Secretary of Energy (at 100% working interest). During the fourth-quarter 2024, LACh produced 79,543 barrels of oil equivalent per day (boe/d) at 100% working interest, of which 71,471 barrels per day (b/d) were oil, according to the Argentine Secretary of Energy.
Vista estimates LACh could potentially hold 400 new well locations to be drilled in its inventory (at 100% working interest). The remaining 50% of LACh is held by Argentina’s state-owned YPF S.A., which is the operator of the concession.
Transaction highlights
— Highly accretive acquisition for our shareholders, comparing implied EV/EBITDA, EV/flowing barrels, EV/P1 reserves and price-to-earnings (P/E) metrics to Vista metrics;
— Low-cost, high-margin, high-return, cashflow-generating asset, as LACh’s lifting cost, Adjusted EBITDA margin and Return on Average Capital Employed (ROACE) are in line with Vista’s operating and financial metrics for the year 2024, whilst supporting our path to positive free-cashflow generation;
— Increased scale, as Vista consolidates through PEPASA an oil and gas production volume that is approximately 47% of its 4Q:24 production, leading to a pro forma total production of 125,048 boe/d for 4Q:24;
— Portfolio enhancement, with an estimated inventory of 200 ready-to-drill wells at Vista’s 50% working interest in the core of Vaca Muerta, and geographically located next to Vista’s development hub;
— Operating synergies based on the proximity of LACh to Vista’s development hub, which could translate into potential savings related to sharing surface facilities, optimizing well placement close to the limits between LACh and Vista’s development hub, streamlining new well design and sharing general services;
— Significant oil midstream capacity is consolidated through the acquisition, as PEPASA has approximately 57,000 b/d transportation capacity and 48,000 b/d export dispatch capacity in several key midstream projects.
In order to carry out the transaction, own funds and funds from the transaction financing were used, consisting of a credit agreement between Vista Argentina as borrower and Banco Santander, S.A. as lender, for a total amount of $300mn. This credit agreement has a term of 4 years.
PEPASA key facts
PEPASA is incorporated under the laws of Argentina and founded in 2014.
PEPASA’s main asset is a 50% working interest in the unconventional hydrocarbons concession La Amarga Chica, located in the Vaca Muerta play in the Neuquina Basin, Argentina. For the development of the asset, PEPASA entered into a joint venture with YPF, the operator of the concession. The LACh unconventional concession expires in Dec. 2049.
Driven by oil and gas production from La Amarga Chica block, during 2024, PEPASA’s total revenues were $909mn. In addition, Adj. EBITDA of PEPASA during 2024 was $667mn, leading to an Adj. EBITDA margin of 73%. Net profit for the period was $349mn for the fiscal year 2024.
In addition, PEPASA has secured the following transportation and dispatch capacity in key oil midstream infrastructure:
• In the Oldelval pipelines: a total of 36,140 b/d comprised of (i) open access capacity for 18,806 b/d and (ii) contracted transportation capacity in Duplicar for 17,334 b/d;
• In the Vaca Muerta Norte pipeline: contracted transportation capacity of 20,756 b/d;
• In the OTE terminal: a total export dispatch capacity of 27,080 b/d.
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By Editors at Energy Analytics Institute. © 2025 Energy Analytics Institute (EAI). All Rights Reserved.
