Argentina, Chevron deal flayed

Shale Oil • The Argentine government’s long-sought deal with Chevron Corp. to exploit shale oil reserves in Patagonia was strongly criticized Wednesday by Mapuche Indians, human rights activists, environmentalists and leftists who called it a sellout to the U.S. that could drain and pollute the nation’s resources.

The $1.5 billion joint venture with Chevron was made public in a brief announcement by the state-owned YPF oil company Tuesday night. President Cristina Fernandez said the deal will promote energy independence for Argentina, but many of her one-time allies warned that it would do the opposite.

“It’s an irresponsibility and a lack of consciousness that the national government hands over these resources to Chevron,” said Nilo Cayuqueo, who leads a Mapuche community in Neuquen province, where the Vaca Muerta shale oil basin is. “We’re talking about money here, nothing else.”

Mapuches say the land belongs to them and contend they weren’t consulted about the deal in violation of international treaties covering indigenous peoples. YPF denied that claim Tuesday.