State-owned oil and gas company YPF sold its stake in Metrogas, Argentina’s largest natural gas distribution company, to electricity distributor Edenor, which is controlled by businessmen José Luis Manzano, Daniel Vila and Mauricio Filiberti.
The move means YPF will exit Metrogas as it shifts its focus toward oil and gas production in the Vaca Muerta shale formation in Neuquén province.
Metrogas was created in 1992 following the privatization of essential public services in Argentina. It distributes natural gas to more than 2 million households across Buenos Aires City and 11 districts in the outskirts of the national capital, representing around 19% of Argentina’s natural gas market.
Edenor, Argentina’s largest electricity distribution company, will also acquire YPF’s stake in large-scale natural gas supplier Metroenergía, in a transaction valued at US$780 million.
YPF owned 70% of Metrogas’ share capital and 5% of Metroenergía’s.
