MEETING BETWEEN THE CHAIRMAN OF REPSOL, ALFONSO CORTINA, AND THE CHAIRMAN OF YPF, ROBERTO MONTI

01/22/99

MEETING BETWEEN THE CHAIRMAN OF REPSOL, ALFONSO CORTINA, AND THE CHAIRMAN OF YPF, ROBERTO MONTI

Repsol�s Chairman and CEO, Alfonso Cortina, was received yesterday by YPF�s Chairman, Roberto Monti.

The meeting took place at 9.30 a.m. at YPF headquarters, and was the first formal encounter between the two companies, following Repsol�s acquisition of the 14.99% stake in YPF tendered for sale by the Argentine Government on January 20^thlast.

As a result of the aforementioned acquisition, Repsol has become major shareholder of YPF, the largest private oil and gas company in Latin America.

During their conversation, Alfonso Cortina stated, "We are sure that the complementary nature of the activities carried out by YPF and Repsol will strengthen their common future". And he added "This investment ratifies Repsol�s commitment in Argentina".