The CEO of the Techint Group, Paolo Roccasaid he had “a lot of hopes” in the president Javier Mileywithin the framework of the main oil forum in the world, Cera Week, held in Houston, United States.
Milei then posted the statements on her X account, in which Rocca stated that Libertarian policies “sound like what Argentina needs”. Organized by the rating agency Standard & Poor´sCera Week represents the largest global forum in the energy sector.
There, Rocca said that although it is necessary to resolve regulatory problems to take advantage of the gigantic potential of the Vaca Muerta unconventional field, The business community trusts that Milei will solve them.
On the other hand, Rocca highlighted that Argentina “is coming from an extremely difficult economic situation at the end of the last president’s term (Alberto Fernández).” And he added: “In the elections, the majority of people opted for a profound change in the way the country is run. And the new president elected with 56% of the votes has great support. He is a particular president.”
Javier Milei’s publication on social networks. Photo: X/@JMilei
“You have seen it in his speech in Davos. But the central point is that its economic program sounds like what Argentina needs, such as reducing the fiscal deficit and public spending from 40% to 25% and liberalizing the market,” he said.
Rocca considered that the country “is in a very difficult situation, with a recession and very high inflation. Personally, I think the program will be successful. Argentina needs this. “It is very important to open new opportunities.”
Likewise, the CEO stressed that some of the reforms provided for in the new Bases Law will create a favorable environment for investments in hydrocarbons.
The survey that Milei embraces
“The new Hydrocarbons Law (in reference to the changes in Law 17,319 provided for by the new Base Law), aims to ensure that local prices reflect international prices and allows the movement of capital to obtain financing and transfer dividends abroad,” he claimed.
He also considered that Argentina “can play an extraordinary role in global energy market. If the country faces a tax reform, regulatory changes for hydrocarbons and a large projects law (in reference to the Large Investment Incentive Regime, RIGI, included in the Base Law) approved by Congress, even with the adjustments that may be necessary, I think A very relevant space for attraction and investment will open for Argentina certainly from our company, but also from other domestic and international companies.
Paolo Rocca. Photo: NA
“Argentina can become a producer of one and a half million barrels per day in six or seven years. That is possible, feasible. Even the development of Liquefied Natural Gas (LNG) would be feasible if the macroeconomic variables are controlled: inflation, the level of risk and the openness of the exchange rate. This is essential. We have a lot of hope in the new president. Maybe we are facing the beginning of a new cycle for the country“Rocca said in the forum.
The businessman also highlighted that Vaca Muerta has gas reserves greater than those of the Permian basin, in the United States, and oil reserves equivalent to the North American field.
“The problem is on the surface, in the regulatory environment”explained Techint’s number one.
Rocca also highlighted that Vaca Muerta’s oil production, which is currently 300 thousand barrels per day, could reach a million barrels if the necessary investments arrive in the region.
Survey: 80% evaluate the economic situation as bad but Javier Milei maintains a positive image at 43%
Rocca, against the forceful measures of the UOM
The businessman expressed this week his concern about forceful measures promoted by the workers who joined the strike of the Metallurgical Workers Union (UOM) and said that They will lose a total of $240,000.
Added to the 24-hour strike and the 48-hour strike on the two previous occasions, the union’s actions, according to the Italian-Argentine businessman, have had a significant impact on Tenaris operationsa fundamental company in the steel sector.
“The strike affects the company’s relationship with its clients, but also the workers’ families. For those who complied with these three days of strike, it represents a substantial loss. We are talking about $240,000 between presenteeism and days of work in an average salary. And it is something that does not help anyone,” said Rocca in dialogue with Campana Noticias.
In this sense, the CEO of Grupo Techint appealed to the search for constructive solutions and stressed that the situation is not beneficial for any of the parties involved.
CA/GI