Repsol SA (REP.MC) will sue an Argentine company for signing a deal to
develop shale oil and gas resources with its nationalized local unit YPF
SA (YPF, YPFD.BA), a spokesman for the Spanish oil company said
Friday.
The spokesman said Repsol told Bridas International SA in a
letter sent Jan. 2 that the Spanish firm would sue it for unlawful
competition under Spanish law for partnering with YPF.
In May, Argentina's government nationalized a majority stake
in YPF, the country's leading oil-and-gas company, after seizing its
headquarters in Buenos Aires the previous month. Since then Repsol's YPF
ownership declined to about 12% from more than 50%.
Repsol had said it would take legal action against any company
that joins forces with YPF. Bridas signed such a deal late last year.
Repsol has already sued to block international oil major Chevron Corp.'s
(CVX) recent partnership with YPF.
Repsol has also filed a complaint against Argentina before the World Bank's arbitration center over the YPF nationalization.