Argentina’s fossil fuels boom gains momentum

Argentina's fossil fuels industry is experiencing a significant boom, with shale output increasing by 28% year-on-year, according to a report by Semafor. This shift in focus from being a buyer to an energy supplier is gaining momentum, with shale now accounting for 71% of the country's total oil and gas production. The export of crude oil has surpassed corn and soy, becoming Argentina's top export, and the nation recorded a record energy surplus of $7.8 billion last year.

The rise of shale and the development of the Vaca Muerta fields have been key drivers of this transformation, but geopolitical factors have also played a crucial role. The Iran war has led to increased oil prices and disrupted Middle Eastern exports, making alternative suppliers more attractive and lucrative. This shift in Argentina's energy sector is part of a broader trend, as countries like Brazil, Guyana, the US, and Venezuela have also seen a rise in oil income.

Brief written by urgent.news from Semafor's own syndicated text. Machine-written — may contain errors; check the original before relying on it.