The Southern Pipeline advances: YPF begins automatic welding in Chelforó

YPF's president and CEO, Horacio Marín, participated in the launch of a key stage in the development of the Vaca Muerta Sur Pipeline (VMOS): the start of automatic welding on the pipeline line, near Chelforó, in the province of Río Negro.

The event marks a significant milestone in a project considered essential for Argentina's energy future, as it will enable large-scale exports of oil produced in Vaca Muerta, one of the world's most important unconventional hydrocarbon reservoirs.

"Vaca Muerta Oleoducto Sur is strategic for the country and it's proof that private companies can finance and build this type of infrastructure and generate value for Argentina," Marín stated.

A project targeting 550,000 barrels per day in 2027

The initiative involves the construction of a 437-kilometer (272-mile) pipeline and a world-class export terminal located in Punta Colorada, in the province of Río Negro. The project, driven by the VMOS consortium, made up of YPF, Pan American Energy, Vista, Pampa Energía, Chevron, Pluspetrol, and Shell Argentina, aims to generate USD 15 billion in revenue by 2030.

The pipeline is expected to be operational by the end of 2026, with an initial capacity of 180,000 barrels per day, which will progressively increase to reach 550,000 barrels per day in 2027.

Progress of works and state-of-the-art technology

Before participating in the technical milestone, Marín, together with YPF executives and those from the Techint–Sacde joint venture, toured the construction camp in Chichinales, where the logistics center for pipe storage and a double-joint welding plant are located. This technology allows the length of the pipes to be doubled (from 12 to 24 meters[39 to 79 feet]) in an industrial and mobile manner, accelerating the construction pace.

So far, more than 300 kilometers (186 miles) of track opening and 60 kilometers (37 miles) of pipe stringing have already been completed. Currently, there are 500 workers actively engaged in this section of the project.

Progress in Allen, Chelforó, and Punta Colorada

Progress is also being made on the pumping stations in Allen and Chelforó, key points for the operation of the transportation system.  In Punta Colorada, construction has begun on the storage terminal, which will initially have 5 to 6 tanks of 120,000 cubic meters (4,238,000 cubic feet) each. The first steel plates for the tanks have already arrived in the country.

Additionally, two single-point mooring buoys have been acquired, which will, for the first time in the country's history, allow the loading of VLCC (Very Large Crude Carriers) vessels, representing a qualitative leap in export logistics.

This development positions Argentina in a new stage of its energy matrix, driven by private investment, technological innovation, and Vaca Muerta's productive capacity.