facebook
twitter
rss
account
search
search
 

Spain's Repsol not happy with YPF offer

June 27, 2013 at 8:19 AM   |   Comments

MADRID, June 27 (UPI) -- Spanish energy company Repsol said it was not satisfied with a $5 billion offer from the government of Argentina for seizure of holdings in energy company YPF.

Argentine President Cristina Fernandez de Kirchner signed legislation last year to seize 51 percent of the YPF shares held by the Spanish energy company. The European Commission said it was frustrated by the move and Repsol last year threatened legal action.

Repsol's board of directors announced it rejected a compensation offer made by the Argentine government.

The deal would have given Repsol drilling rights to Argentina's vast Vaca Muerta shale natural gas field and 47 percent ownership in a new company. The deal, valued at $5 billion, was deemed "unsatisfactory" by the board of directors, the company said Wednesday.

The board said the offer "did not satisfy the losses suffered by Repsol" by the seizure.

Repsol said in a statement it hopes the Argentine government maintains "an open attitude" in future negotiations aimed at resolving the dispute.

The Argentine government called on Repsol to abandon a $10.5 billion legal claim against it if the proposal were accepted.

© 2013 United Press International, Inc. All Rights Reserved. Any reproduction, republication, redistribution and/or modification of any UPI content is expressly prohibited without UPI's prior written consent.
Recommended UPI Stories
Featured UPI Collection
trending
Celebrity Couples of 2014 [PHOTOS]

Celebrity Couples of 2014 [PHOTOS]

Most Popular
1
Twinkies' Chicago facility to close
2
Scottish tidal array may be largest of its kind
3
Russia's Rosneft grabs Norwegian drilling assets
4
Scotland to model Norway's energy economy
5
API: July banner month for U.S. oil sector
Trending News
Video
x
Feedback