Argentina's state-controlled oil company was holding an important meeting with California-based Chevron Corp. today to share strategies for developing the world's third-largest unconventional oil and gas reserves.

YPF CEO Miguel Galuccio is calling his talks with Chevron's Latin America chief Ali Moshiri the first step toward a strategic alliance with Chevron, Latin America's leading private energy investor. He says YPF needs partners with Chevron's power and experience to develop Argentina's shale reserves, which trail only the U.S. and China in potential.

Friday's encounter between the two executives did not lead to any specific investment news, but sets the stage for Galuccio's formal presentation next Thursday of a five-year plan for the company Argentina expropriated from Spain's Grupo Repsol.