The national government is considering an addition Large Investment Incentive Scheme (RIGI)on investments related to the unconventional upstream oil and natural gas.
The request was made by the governor of Neuquén, Rolando Figueroawith the aim of including investments related to the use of Vaca Muerta.
According to the governor, he asked the Minister of Economy, Luis Caputo, to take up these projects in order to “promote more production, employment and growth for the entire province.”
“Today we are working with Minister Caputo to implement measures that impact the industry and development of our province. That’s why.” We call for the inclusion of investments related to the unconventional upstream of oil and natural gas – particularly those intended for incremental production generation – within the framework of the Large Investment Incentive Regime (RIGI), to promote greater production, employment and growth for the entire province,” Figueroa said on his social networks.
Caputo replied that they will consider the local president’s request.
The announcement comes days after this was confirmed Progress is being made in reducing the withholding tax on unconventional oilin parallel with YPF’s withdrawal from some regions with mature conventional wells.
In 2024 the segment Upstream investments totaled $12.8 billiondespite the fall in international prices.
Among the projects that could be included is the agreement between YPF and ENI to export liquefied natural gas.
Argentina LNG is considering exporting 12 million tons of LNG per year produced from Vaca Muerta.
“This is the largest investment in Argentina’s history and will generate up to $1.5 million $20 billion per year“It will become one of the most important energy projects in Latin America,” Casa Rosada said in a statement announcing the deal.
Other projects could also benefit, such as investments by Vista or Shell, but it is also expected that the infrastructure investments already made (which were included in the RIGI) will drive new investments in the upstream segment.
This is the case with YPF’s project, along with other oil companies, to export liquefied natural gas, which could bring demand for increased production that requires increased drilling.
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