Argentine President Cristina Fernandez on Wednesday announced a government program to boost oil exploration and production in the country.

The "Petroleo Plus" (Oil Plus) program is of strategic importance, not only because it concerns an important sector like energy, but also for its mode of offering fiscal incentives for concrete results in increasing production and jobs, said Fernandez.

The program will offer tax and investment incentives to producers and refiners to spur oil exploration and production, and the expansion of refining capacity. It is designed to improve profits for producers and refiners as an encouragement to turn around the declining oil production in the country.

Planning Minister Julio De Vido said the program will result in a direct investment of some US$8.6 billion in the sector.

The program will have an impact on "increasing energy reserves, adding value to exports and developing activities that contribute to the development of Argentina," said De Vido.

He also confirmed that special incentives will be provided to small refiners who present expansion projects of their plants.

(Xinhua News Agency November 13, 2008)