TotalEnergies chief says to invest nearly $10bn in Argentina

TotalEnergies, the global energy conglomerate, announced plans to invest nearly $10 billion in Argentina over the coming years, according to the company's chief executive Patrick Pouyanne. The announcement came as Argentine President Javier Milei visited Paris. Pouyanne expressed his delight at the forthcoming $10 billion investment in Argentina, highlighting the company's significant presence in the South American country.

As the largest international gas producer in Argentina, TotalEnergies operates both onshore and offshore fields. In addition, the company also manages wind and solar energy projects. During a recent strategy presentation, TotalEnergies disclosed its intention to make overall investments amounting to $14 billion to $17 billion annually between 2027 and 2032.

The reported $10 billion investment is allocated for existing projects, with the bulk of the funds directed towards operations in Neuquen province, located in northern Patagonia, where the company has shale gas operations.

A substantial portion of the investment, $1.5 billion, will be utilized for developing the offshore gas field off the coast of Tierra del Fuego, southern Argentina. This field currently generates an impressive 20 million cubic meters of gas each day. However, the majority of the funds will be invested in Neuquen province, where the company has been actively pursuing shale gas exploration.

Pouyanne revealed that the company aims to not only produce shale gas in Neuquen but also shale oil. Additionally, TotalEnergies intends to continue expanding its wind power investments in Argentina. The company recently made an announcement regarding its plans to increase its annual production of gas and oil by 2 to 3 percent between 2030 and 2035.