Can you explain how Y-TEC was conceived and what has been the progress of the project so far?

Y-TEC is a joint venture between YPF and the National Scientific and Technical Research Council (CONICET). In 2002, YPF’s then-CEO Miguel Galuccio and Minister of Science, Technology, and Productive Innovation Lino Barañao recognized Argentina’s potential to tackle the country’s energy challenges through its own know-how, given the significant scientific resources available. The idea to link YPF and CONICET as a gateway to the country’s research system was unprecedented, and its potential impact generated much enthusiasm and optimism. Eduardo Dvorkin wrote about recreating INVAP’s success in partnership with research centers but for the oil and gas industry. When President Fernández de Kircher read the article, she asked Dr. Barañao to analyze and carry out such a project. With its intelligent design, Y-TEC plays a vital role as a public-private partnership dedicated to research and development.

YPF provides Y-TEC with capital and leadership. Could you describe the relationship you have with YPF?

When Y-TEC was created, it was decided that the strategy and leadership of the company had to be in the hands of the private sector. Therefore, YPF owns 51% of the company. The business model is a joint venture between both the public and private sectors aimed at capitalizing on all of the country’s research capabilities and applying them to find business opportunities. In the original design, the challenge was to determine how CONICET’s researchers would fit into the new company, since they have their own incentives and evaluation mechanisms. We have developed a creative solution to this issue in the last two years, and today Y-TEC has a strong open innovation model by which universities and CONICET’s research capabilities complement Y-TEC’s research teams and support our projects. We are also about to inaugurate a new building facility with the best equipment and technology available in the country, which will be part of our innovation network of CONICET research centers. YPF has excellent research capabilities with which to collaborate, and we are also developing strategic alliances with leading companies to collaborate on research activities and jointly create innovative products and solutions for the energy sector.

How fast has Y-TEC grown in terms of budget and personnel?

When Y-TEC was created, YPF’s entire R&D team of about 75 people moved to Y-TEC. The philosophy behind the project was that Y-TEC become YPF’s R&D branch. Today, there are over 320 researchers involved in Y-TEC’s projects, and we are planning to double this number in the next five years.

How important will the new research center in La Plata be to Y-TEC and what will be its purpose?

The center will serve as our headquarters. Y-TEC’s strategy is to consolidate itself as a leading technology firm whose main activity revolves around R&D and the transfer of knowledge to YPF and other companies in the energy sector. The strategy revolves around developing new technologies to be used in different business areas, such as unconventional resources, mature fields, gas extraction, refinery and petrochemicals, new energies, environmental, and services.