Argentina Oil and Gas Upstream Market Size (2024 - 2029)

Argentina Oil and Gas Upstream Market Size Summary

The oil and gas upstream market in Argentina is poised for growth, driven by increasing natural gas consumption and the development of shale gas reserves. Despite the initial setbacks due to the COVID-19 pandemic, the market has rebounded to pre-pandemic levels. The government's focus on boosting natural gas production is expected to create significant opportunities for industry players. However, the maturity of most fields may lead to a decline in oil and gas production in the coming years. The onshore segment, particularly the Vaca Muerta shale formation, is anticipated to experience growth due to substantial investments from both domestic and international companies.

Argentina stands as the largest natural gas producer in South America, with vast shale gas reserves attracting foreign investments for exploration and production. The Neuquén Basin, along with other basins like Golfo San Jorge and Austral-Magallanes, holds significant potential for production expansion. While traditional fields have seen a decline in hydrocarbon production, the rise in shale and tight gas production has partially offset these declines. The market is moderately fragmented, with major players such as Equinor ASA, Chevron Argentina SRL, and ExxonMobil Exploration Argentina SRL actively participating in the sector. Recent investments and projects, including those by Vista Energy, Trafigura Argentina, and TotalEnergies SE, underscore the ongoing commitment to developing Argentina's oil and gas resources.