The assets added by President Energy are located in the Rio Negro Province at Puesto Flores and Estancia Vieja.

Chevron has been the sole owner and operator of the concession for over 15 years. 

The Neuquén Basin is renowned to be the most prolific hydrocarbon region in Argentina. The two oil assets contained in it are expected to add over 1,200 bopd net current production to the company and are believed to have significant future potential growth.

According to President Energy, the assets are currently selling their oil at $55/barrel with a $27 netback/barrel which is delivered through a pipeline to where the buyers offtake the product.

President Energy will be partnering with Rio Negro Province's energy company Ediphsa for the production at the two oil assets. Ediphsa will hold a 10% stake in the concession while President Energy will have 90% interest.

President Energy chairman and chief executive Peter Levine said: “The acquisition provides significant forward momentum and an important platform for growth in the Neuquén Basin where, in line with a committed strategy to expand, we continue to actively consider other appropriate acquisition opportunities capable of delivering strong shareholder value.

“Whilst today's news is rightly focused on this acquisition, we continue to press ahead with our very busy work at Puesto Guardian in the Salta Province and look forward to updating shareholders at the end of this month.”