MADRID – The board of Spanish energy giant Repsol has rejected a $5 billion offer of compensation from Argentina for the company's YPF unit that the country seized last year.
Repsol SA says in a statement that the offer isn't good enough for what it lost after Argentina expropriated YPF, claiming Repsol wasn't doing enough to extract petroleum from vast unconventional reserves in Argentina.
Repsol's board said Wednesday night that it was encouraged that Argentina is interested in a negotiated solution to the dispute.
The deal would have given Repsol a 47 percent stake in a joint venture involving the Vaca Muerta reserves. YPF would have held 51 percent and Mexico's Pemex would have gotten 2 percent.