Eni and YPF Join Forces for Argentina LNG Project Targeting 30 Million Tons by 2030

Italy’s Eni Group and Argentina’s YPF have signed an agreement to advance the Argentina LNG (ARGLNG) project, aiming to position the country as a global LNG exporter. The deal was finalized during a meeting between Argentine President Javier Milei and Italian Prime Minister Giorgia Meloni in Rome.

The project’s first phase involves a floating LNG (FLNG) facility to extract, process, transport, and liquefy natural gas. Initial annual production is set at 12 million tons, with plans to expand to 30 million tons by 2030.

Eni’s proven expertise in FLNG projects in Congo and Mozambique and its on-time delivery of complex energy infrastructure made it an attractive partner. The project will monetize natural gas resources from the Vaca Muerta field, the world’s second-largest shale gas reserve, for international markets.

It follows similar initiatives by the Southern Energy Consortium, which includes Golar LNG, Pan American Energy, YPF, Pampa Energia, and Harbour Energy. The consortium recently approved a 20-year lease for the Hilli FLNG unit, set to begin operations in 2027, with a second FLNG unit scheduled for deployment in 2028.

Both FLNG units will operate offshore in the Gulf of San Matías, Río Negro Province, under the protection of unprecedented 30-year LNG export licenses and environmental clearances. These investments will cement Argentina’s role as a key player in the global LNG supply chain.