
	Land and buildings		Mining property, wells and related equipment				Refinery equipment and petrochemical plants		Transportation equipment		Materials and equipment in warehouse		Drilling and work in progress		Exploratory drilling in progress		Furniture, fixtures and installations		Selling equipment		Infrastructure for natural gas distribution		Other property		Total
Cost		1,291		44,967				7,905		452		1,044		3,254		190		686		1,173		747		781		62,490
Accumulated depreciation		611		35,551				4,382		300		-		-		-		587		740		400		569		43,140

Balance as of December 31, 2019		680		9,416	(1)			3,523		152		1,044		3,254		190		99		433		347		212		19,350


Cost
Increases		2		(157)	(4)			26		1		471		956		2		1		-		19		4		1,325	(6)
Translation effect		(50)		-				-		(12)		(7)		(35)		-		(6)		-		(216)		(47)		(373)
Adjustment for inflation (5)		44		-				-		10		5		30		-		7		-		192		41		329
Decreases, reclassifications and other movements		(5)		1,344				197		4		(445)		(1,542)		(145)		60		92		21		(6)		(425)	(3)	(7)	(8)

Accumulated depreciation
Increases		28		2,467	(4)			384		24		-		-		-		57		62		15		24		3,061
Translation effect		(24)		-				-		(7)		-		-		-		(7)		-		(115)		(34)		(187)
Adjustment for inflation (5)		22		-				-		6		-		-		-		6		-		103		29		166
Decreases, reclassifications and other movements		(21)		(121)				-		(5)		-		-		-		(2)		-		(3)		(7)		(159)	(3)	(7)	(8)

Cost		1,282		46,154				8,128		455		1,068		2,663		47		748		1,265		763		773		63,346
Accumulated depreciation		616		37,897				4,766		318		-		-		-		641		802		400		581		46,021

Balance as of December 31, 2020		666		8,257	(1)			3,362		137		1,068		2,663		47		107		463		363		192		17,325


Cost
Increases		7		38	(4)			51		6		618		1,913		22		1		-		-		10		2,666	(6)
Translation effect		(28)		-				-		(7)		(3)		(22)		-		(5)		-		(138)		(29)		(232)
Adjustment for inflation (5)		68		-				-		17		7		50		-		10		-		318		65		535
Decreases, reclassifications and other movements		14		1,565	(9)			148		19		(632)		(1,785)		(27)		53		54		52		44		(495)	(3)

Accumulated depreciation
Increases		26		2,468	(4	)		356		22		-		-		-		55		67		19		28		3,041
Translation effect		(15)		-				-		(5)		-		-		-		(4)		-		(72)		(22)		(118)
Adjustment for inflation (5)		35		-				-		11		-		-		-		9		-		167		49		271
Decreases, reclassifications and other movements		(6)		(149)	(9)			(1)		(9)		-		-		-		-		-		(5)		(2)		(172)	(3)

Cost		1,343		47,757				8,327		490		1,058		2,819		42		807		1,319		995		863		65,820
Accumulated depreciation		656		40,216				5,121		337		-		-		-		701		869		509		634		49,043

Balance as of December 31, 2021		687		7,541	(1)			3,206		153		1,058		2,819		42		106		450		486		229		16,777


	Land and buildings		Mining property, wells and related equipment			Refinery equipment and petrochemical plants		Transportation equipment		Materials and equipment in warehouse		Drilling and work in progress		Exploratory drilling in progress			Furniture, fixtures and installations		Selling equipment		Infrastructure for natural gas distribution		Other property		Total
Cost		1,343		47,757			8,327		490		1,058		2,819		42			807		1,319		995		863		65,820
Accumulated depreciation		656		40,216			5,121		337		-		-		-			701		869		509		634		49,043

Balance as of December 31, 2021		687		7,541	(1)		3,206		153		1,058		2,819		42			106		450		486		229		16,777


Cost
Increases		1		278	(4)		69		9		944		3,080		43			1		-		-		34		4,459	(6)
Translation effect		(86)		-			-		(23)		(9)		(28)		-			(14)		-		(418)		(104)		(682)
Adjustment for inflation (5)		111		-			-		31		12		36		-			18		-		547		134		889
Decreases, reclassifications and other movements		26		2,052			281		21		(810)		(2,027)		(47)			20		24		35		3		(422)	(3)

Accumulated depreciation
Increases		29		2,123	(4)		374		25		-		-		-			56		67		19		31		2,724
Translation effect		(44)		-			-		(15)		-		-		-			(12)		-		(213)		(67)		(351)
Adjustment for inflation (5)		59		-			-		20		-		-		-			16		-		279		86		460
Decreases, reclassifications and other movements		-		(45)			(1)		(8)		-		-		-			-		(11)		(8)		-		(73)	(3)

Cost		1,395		50,087			8,677		528		1,195		3,880		38			832		1,343		1,159		930		70,064
Accumulated depreciation		700		42,294			5,494		359		-		-		-			761		925		586		684		51,803

Balance as of December 31, 2022		695		7,793	(1)		3,183		169		1,195		3,880		38	(2)		71		418		573		246		18,261

(1)	Includes 333, 356 and 414 of mineral property as of December 31, 2022, 2021 and 2020, respectively.

(2)	As of December 31, 2022, there are 23 exploratory wells in progress. During the year ended on such date, 17 wells were started, 7 wells were charged to exploratory expense and 6 well was transferred to properties with proven reserves in the “Mining property, wells and related equipment” account.

(3)	Includes 1, 1 and 16 of net book value charged to property, plant and equipment provisions for the years ended December 31, 2022, 2021 and 2020, respectively.

(4)	Includes 268, 32 and (166) corresponding to hydrocarbon wells abandonment costs and 19 and 149 of depreciation recovery for the years ended December 31, 2022 and 2020, respectively.

(5)	Corresponds to adjustments for inflation of opening balances of property, plant and equipment of subsidiaries with the Peso as functional currency which was charged to other comprehensive income.

(6)

Includes 44, 11 and 8 corresponding to short-term leases as of December 31, 2022, 2021 and 2020, respectively; includes 5, 7 and 24 corresponding to the variable charge of leases related to the underlying asset performance/use as of December 31, 2022, 2021 and 2020, respectively. Additionally, it includes 57, 44 and 54 corresponding to the depreciation capitalization of right-of-use assets as of December 31, 2022, 2021 and 2020 (see Note 9); and 14, 11 and 14 corresponding to capitalization of the financial accretion of the lease liability as of December 31, 2022, 2021 and 2020, respectively (see Note 20).

(7)	Includes 31 and 3 of cost and accumulated depreciation, respectively, corresponding to the disposal of the 11% interest of Bandurria Sur area. See Note 34.b).

(8)	Includes 32 and 26 of cost and accumulated depreciation, respectively, corresponding to the reclassification of assets held for disposal.

(9)	Includes 140 of cost and accumulated depreciation corresponding to the reversal of Loma de La Mina block. See Note 34.a).

The Group capitalizes the financial borrowing cost as a part of the cost of the assets. For the fiscal year ended December 31, 2022, 2021 and 2020, the rate of capitalization has been 8.19%, 8.47% and 9.70%, respectively, and the amount capitalized amounted to 12, 11 and 12, respectively, for the years mentioned above.

Set forth below is the evolution of the provision for obsolescence of materials and equipment for the years ended December 31, 2022, 2021 and 2020:


	2022		2021		2020
Amount at beginning of year		123		134		111
Increases charged to profit or loss		30		6		23
Decreases charged to profit or loss		-		(16)		-
Applications due to utilization		(1)		(1)		-
Translation differences		(1)		-		-
Adjustment for inflation (1)		-		-		-

Amount at end of year		151		123		134

(1)	Corresponds to adjustment for inflation of opening balances of the provision for obsolescence of materials and equipment in subsidiaries with the Peso as functional currency which was charged to other comprehensive income.

Set forth below is the evolution of the provision for impairment of property, plant and equipment for 2022, 2021 and 2020:


	2022		2021		2020
Amount at beginning of year		651		778		1,360
Increases charged to profit or loss		123		97		822
Decreases charged to profit or loss		-		-		(787)
Applications due to utilization		-		-		(16)
Depreciation (1)		(173)		(225)		(601)
Translation differences		(5)		-		-
Adjustment for inflation (2)		4		2		-
Transfers and other movements		-		(1)		-

Amount at end of year		600		651		778

(1)	Included in “Depreciation of property, plant and equipment” line in Note 26.

(2)	Corresponds to adjustment for inflation of opening balances of the provision for impairment of property, plant and equipment in subsidiaries with the Peso as functional currency which was charged to other comprehensive income.

The Group estimates the recoverable amount of property, plant and equipment based on the guidelines and methodology mentioned in Notes 2.b.8), 2.b.9) and 2.c).

The Group permanently monitors the business perspectives at the places where it operates. In relation to the natural gas market, incentive schemes were established in recent years in order to increase the total injection of natural gas. As of 2018 and 2019, an excess in the supply from the increased production on unconventional fields with respect to the domestic demand was observed at specific times of the year, an unusual situation in the past, which affected natural gas production due to the temporary shutdown of wells, as well as to the reinjection of the hydrocarbon. This situation generated a reduction in natural gas sales price in the local market, which generated a drop in natural gas production due to the lack of incentives to develop projects. Consequently, on November 16, 2020, the National Government approved the Plan GasAr 2020-2024 with the aim of making viable investments to increase the production of natural gas in all the country’s basins and satisfy the hydrocarbon needs of the local market. Subsequently and with the same objective, on November 4, 2022, the National Government approved the Plan GasAr 2023-2028. Within this framework, YPF undertook natural gas production commitments in the Neuquina basin. See Note 35.d.1).

During the year 2020 in the local market of natural gas a reduction in natural gas sales price is observed which deepened as of the second quarter of 2020, mainly due to lower sales prices to distributors and lower prices obtained on natural gas’s biddings on the power plants channel. In the second quarter of 2020, based on the background and the method mentioned above, the Group recognized an impairment charge of property, plant and equipment, mainly for the CGU Gas - Neuquina Basin of 699 (524 net of the income tax effect) and for the CGU Gas - Austral Basin of 115 (86 net of the income tax effect), which group for each basin the assets of fields with reserves mainly of natural gas, generated, mainly, by the expected fall in natural gas prices due to the situation the market was going through at global level, and also, by the specific dynamics mentioned above, at the domestic level.

Subsequently, in the fourth quarter of 2020, mainly from the Plan GasAr 2020-2024, expectations related to the development of natural gas projects in Neuquina basin were modified. In that quarter, the Group recognized a reversal of the impairment charge of property, plant and equipment, mainly for the CGU Gas - Neuquina Basin of 696 (522 net of the income tax effect) and for the CGU Gas - Austral Basin of 91 (68 net of the income tax effect). The reasons for the reversal are mainly due to the increase in the expected production of natural gas and, to a lesser extent due, to the reduction in production costs. The discount rate after taxes used as of December 31, 2020 was 12.85% for 2021 and 13.12% for 2022 and thereafter, being the recoverable value after taxes of the CGU Gas - Neuquina Basin and the CGU Gas - Austral Basin equal to 2,287 and 191, respectively.

As of December 31, 2021, the Group recognized an impairment charge of property, plant and equipment for the CGU Gas - Austral Basin of 97 (63 net of the income tax effect) generated from the lower than expected production due to field performance and higher production costs. The discount rate after taxes used as of December 31, 2021 was 14.08%, and the recoverable value after taxes of the CGU Gas - Austral Basin as of such date was equal to 135.

As the book value of the net assets of the CGU Gas - Neuquina Basin amounts to 2,435 and approximated its recoverable value as of December 31, 2021, the Group did not recognize any impairment charges or reversals of previous impairments for the year ended on that date, mainly for the purpose of complying with the Plan GasAr 2020-2024 in such basin.

As of September 30, 2022, the Group recognized an impairment charge of property, plant and equipment for the CGU Gas - Austral Basin of 98 (64 net of the income tax), mainly generated by production cost increases.

As of December 31, 2022, the Group recognized an additional impairment charge of property, plant and equipment for the CGU Gas - Austral Basin of 25 (16 net of the income tax), mainly generated by production cost increases. The discount rate after taxes used as of December 31, 2022 was 14.80%, the recoverable amount after taxes as of such date of the CGU Gas - Austral Basin being 65.

As the book value of the net assets of the CGU Gas - Neuquina Basin amounts to 2,585 and approximates its recoverable value as of December 31, 2022, the Group did not recognize any impairment charges or reversals of previous impairments for the year ended on that date, mainly for the purpose of complying with the Plan GasAr 2020-2024 and Plan GasAr 2023-2028 in such basin.

The Group will continue analyzing the prospects for the variables mentioned above to further estimate their impact on expected cash flows.

Set forth below is the cost evolution for the exploratory wells in evaluation stage as of the years ended on December 31, 2022, 2021 and 2020:


	2022		2021		2020
Amount at beginning of year		19		30		141
Additions pending the determination of proved reserves		20		6		1
Decreases charged to exploration expenses		(3)		-		(16)
Reclassifications to mineral property, wells and related equipment with proved reserves		(21)		(17)		(96)

Amount at end of year		15		19		30

As of December 31, 2022 there are no exploratory wells under assessment for a period greater than a year.