BUENOS AIRES--The new chief executive of Argentina's largest oil and gas producer, YPF SA (YPF, YPFD.BA), said Tuesday the company plans to invest about $7 billion a year during the next five years to increase production. YPF will fund its ambitious 2013-17 investment plan largely with its own cash flow, Chief Executive and Chairman Miguel Galuccio said in a televised speech. He also said YPF will seek strategic partners to develop the country's vast unconventional oil and gas resources. YPF will invest about $1.36 billion to test unconventional oil and gas extraction techniques this year, he said, and if that is successful it will be followed with $12 billion in additional investment between 2013 and 2017, he said. Last month, Argentina's president, Cristina Fernandez de Kirchner, seized a 51% stake in YPF from its controlling shareholder, Spain's Repsol YPF SA (REP.MC). Ms. Kirchner accused Repsol of underinvesting in Argentina and using YPF's generous dividends to fund its operations in other countries. Repsol has denied those charges and is demanding compensation of $10.5 billion. YPF's shares traded in New York fell almost 3% to $12.08 Tuesday, valuing the company at about $4.8 billion. -Write to Ken Parks at ken.parks@dowjones.com
