Técnicas Reunidas Wins Engineering and Management Contract for the Vaca Muerta Project

- Vaca Muerta is one of the largest reserves of unconventional oil and gas in the world and a strategic pillar for the growth and sustainability of the Argentine company YPF and the country's economy in general.
- Técnicas Reunidas will carry out the engineering, project management, procurement and construction management for the development of a hydrocarbon storage and dispatch terminal.
- The contract awarded to Técnicas Reunidas will be worth around 440 million dollars and will require the dedication of 1 million hours of work.
- This is the second recent project of the Spanish company in Argentina, as it is currently successfully completing the project to improve the Luján de Cuyo refinery.
- The Vaca Muerta contract is in line with the SALTA strategic plan that Técnicas Reunidas presented last May, in its commitment to participate in projects minimizing construction risk.

VMOS SA, a company owned by YPF, the largest company in the Argentine energy sector, has awarded Técnicas Reunidas the contract to carry out engineering and management services related to the development of the Vaca Muerta project, the large deposit that extends over 30,000 square kilometers in several provinces in central Argentina.

This oil project, which is the largest in the country and has one of the largest reserves of unconventional oil and gas in the world, not only strengthens YPF's position in the global energy market, but also boosts Argentina's economic development by creating jobs and attracting foreign investment.

The works entrusted to the Spanish company include engineering, procurement and construction management services, under an EPCm (engineering, procurement and construction management) contract, for a hydrocarbon storage and dispatch terminal that will be located in Punta Colorada, on the coast of the province of Río Negro.

The terminal will have a storage capacity of 600,000 m3, a very significant figure on an international scale, and will be divided into five tanks. Its dispatch capacity will be 62,000 m3 per day through two single-buoys that will be able to load VLCC (very large crude carrier) tankers.

The contract awarded to Técnicas Reunidas will be worth around 440 million dollars, of which more than 70 million will be for engineering and project management services. In turn, the total investment that YPF and its partners will have to face for the full execution of the terminal will be around 1.8 billion dollars.

The works at Técnicas Reunidas will be carried out by engineers from the company's centres in Madrid, Argentina and Chile. Its execution will require the dedication of almost 1 million hours of work.

In an earlier stage of this same project, Técnicas Reunidas was responsible for optimising the conceptual engineering previously developed by YPF. This work made it possible to reduce the investment figures and execution times of the planned infrastructures, with the aim of enabling the Argentine company to export fuel at reduced capacity as quickly as possible, once local demand was met.

The award of the new contract continues Técnicas Reunidas' relationship with this client, given that the Spanish company is currently successfully completing the project to improve the Luján de Cuyo refinery that YPF recently awarded it.

The Vaca Muerta contract is in line with the drive that Técnicas Reunidas is currently giving to its involvement in projects in which construction risk is minimized, in line with the SALTA strategic plan that it presented last May.