Our Business

Petro Andina is engaged in the exploration for and development and production of oil and natural gas in South America and the Caribbean. The Corporation is continuing to develop its existing reserves and to conduct appraisal and exploration drilling on its 628,000 acre (346,000 acre net) land position in the Neuquén basin of Argentina.

Petro Andina, in partnership with two of the major producers in the Argentine oil and gas industry, has proven its ability to successfully add incremental value and continues to leverage these relationships into growth opportunities focused on accelerating activity.

In April 2008, Petro Andina surpassed its challenge to build a 10,000 barrel per day (bopd) producer as monthly production averaged 11,200 bopd. The Company continues to experience solid production growth since inception with a three-year compound annual growth rate in excess of 157 percent. This has resulted in Petro Andina now holding the position as the 7^th largest operator of crude oil production in Argentina. 

At Petro Andina, the approach to value creation has remained consistent since inception. The Company’s strategy is to establish high working interest land positions which provide the opportunity for long term oil production. The Company’s staged approach has resulted in the acquisition of an initial low cost, low risk position in Argentina, partnering with major players. Petro Andina has proven its capabilities as a competent, proactive field operator with the ability to optimize properties in a safe and environmentally responsible manner by employing low risk, multi-event capital allocation, maintaining a rapid growth rate and sustaining a low cost operating environment. The Company is continuing to deploy its growth strategy in Argentina by:

• Focusing on continued development of existing booked reserves;
• Conducting enhanced recovery programs to capture resource potential upside;
• Positioning the exploration portfolio to focus on higher prospectivity areas while maintaining flexibility to move quickly on small exploration opportunities;
• Creating a portfolio of options by securing new opportunities.

The Company is consistently developing opportunities to expand its successful business model and apply the strategy in other jurisdictions.