BUENOS AIRES (Reuters) - Argentine state-controlled energy company YPF <YPFD.BA> said on Wednesday it plans to continue a pilot shale oil project with Malaysia's Petronas <PGAS.KL>, announcing an additional $192.5 million joint investment.

The two companies put nine wells into production between May 2015 and September of this year, with an initial $165 million investment, YPF said in a statement. In the next phase they intend to drill 10 horizontal wells and build infrastructure to transport shale oil.

The project is located in the Amarga Chica block in Neuquen province. Southern Argentina is home to Vaca Muerta, one of the world's largest shale reserves.

Petronas shares an equal stake in the project with YPF through its subsidiary Petronas E&P Argentina SA.

(Reporting by Caroline Stauffer; Editing by Leslie Adler)