Shale oil share in Argentina’s production reached 72% — OilPrice
In Argentina, shale oil production in July 2026 amounted to 648,347 barrels per day, or 72% of the country’s total oil output. Total oil production reached a record 902,920 barrels per day — nearly 1% higher than in June and 12% higher year-on-year, OilPrice reports.
Growth driven by Vaca Muerta
The key source of growth was the Vaca Muerta shale formation in Neuquén Province in northern Patagonia. Shale oil production there rose by 1.2% over the month and by 26% compared with July of the previous year.
Argentina’s natural gas production averaged 5.6 billion cubic feet per day in July. This was 0.5% lower than in June and 1.6% below the level a year earlier. At the same time, according to the publication, the country’s gas output has increased by 21% over the past five years.
Shale gas production amounted to 3.9 billion cubic feet per day — nearly 1% less than a month earlier but 4% higher year-on-year. The share of shale gas in total gas production reached 70%.
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Decline in conventional production and investments
Oil production at conventional fields amounted to 254,574 barrels per day in July. The figure declined by 2% compared with June and by 13% year-on-year. OilPrice notes that production at Argentina’s conventional fields is approximately half what it was ten years ago.
Chevron announced plans to invest $13.8 billion in developing the El Trapial blocks in Vaca Muerta. The company submitted the project under Argentina’s Large Investment Incentive Regime, RIGI, which provides 30-year guarantees of regulatory, tax, and foreign-exchange stability for major projects. Implementation of the plan depends on its approval by Argentine authorities.
State-owned YPF applied in August 2026 for RIGI incentives for a $51 billion integrated liquefied natural gas project involving Italy’s Eni and XRG, a subsidiary of Abu Dhabi National Oil Company. Earlier, YPF also announced a $25 billion investment plan for the LLL oil project, which envisages production of 240,000 barrels per day by 2032 for export.
Oil has become Argentina’s second most important export commodity after soybeans and accounts for nearly 11% of the country’s export revenues.
