Repsol accepts Argentina offer for YPF nationalization

|About: Repsol S.A. (REPYF)|By:, SA News Editor

Repsol's (REPYF) board has agreed the outline of a compensation package from Argentina for the government's nationalization of the Spanish oil major's 51% stake in YPF (YPF) in April 2012.

Repsol, which will now open talks with the government, didn't provide the details. However, reports say that Argentina is offering $5B in dollar-denominated government bonds, around half the amount Repsol first demanded following the expropriation.

Argentina hopes the deal will help it to attract investment in its energy industry, and to regain the confidence of foreign creditors amid shortages of foreign currency and limited borrowing options.

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