BUENOS AIRES, Sept 6 Mexico's Pemex disagrees
with Spanish energy company Repsol's strategy of suing firms
that partner with Argentina's state-owned YPF, said a board
member of the Mexican state oil monopoly which holds a 9
percent stake in Repsol.
Argentina seized Repsol's majority stake in Buenos
Aires-based energy firm YPF last year, arguing it had
not done enough to invest in output.
Since then Repsol has vowed to sue any firm that
partners with YPF, to cover losses stemming from the
expropriation which it says merits a $10.5 billion
"We do not agree with the official position that Repsol
adopted," Pemex board member Fluvio Ruiz said at an
event in Buenos Aires on Friday.
"States have all the right in the world to decide the public
policies that are best for their countries," Ruiz added.
His comments underscore tensions between Repsol and some
shareholders as YPF seeks partners in Argentina's massive Vaca
Muerta shale oil and gas deposits, one of the biggest
unconventional reserves in the Western Hemisphere and an
attractive prospect for global firms.
Ruiz said Pemex is talking informally with YPF about
participating in the Vaca Muerta venture in the future.
Argentina finalized a $1.24 billion deal with U.S. oil
company Chevron Corp in July to jointly develop Vaca
Muerta, a partnership that Repsol has tried to thwart with a
In June, Pemex presented a $5 billion non-cash compensation
proposal to Repsol on behalf of Argentina, which the firm's
Argentina's government emphasized the proposal was not
"Pemex presented a proposal that it had worked out with the
Argentine government, but it was not accepted by Repsol's
board," Ruiz said.
Mexico nationalized the assets of foreign oil companies in
1938 to create the Pemex monopoly.
"It would be wrong of the board members of a company that
emerged from a nationalization to question Argentina's
authority," he said.