TotalEnergies Announces Major Investments in Argentina
In a significant move during the inaugural Argentina Week in Paris, TotalEnergies has announced its commitment to invest over US$10 billion to enhance its production of gas and oil in Argentina, specifically targeting the prolific Vaca Muerta and Tierra del Fuego regions. This announcement came following a meeting between the company’s CEO, Patrick Pouyanné, and Argentine leader Javier Milei, where they discussed the future of energy production in the country.
Highlighted in this ambitious investment plan is a US$1.5 billion allocation for the Alberdi offshore development near Tierra del Fuego. In Vaca Muerta, a world-renowned shale formation, TotalEnergies has mapped out plans to expand gas production at the Aguada Pichana site and oil development in the San Roque area. The San Roque project alone is projected to attract investments around US$5 billion.
Patrick Pouyanné, in his presentation, emphasized the importance of local support, specifically urging the governor of Neuquén to collaborate on the San Roque initiatives. “The reforms open a new perspective for investing in Argentina,” he stated, pointing to the critical changes, such as the RIGI incentives and liberalized policies for transferring dividends abroad. These factors are pivotal for global companies like TotalEnergies when making investment decisions.
Before participating in the Argentina Week Paris event, Pouyanné and President Milei finalized the name for the Tierra del Fuego project as Juan Bautista Alberdi, a decision made mutually and symbolically tied to local heritage and cooperation.
Addressing the French business community, Pouyanné encouraged investments in Argentina, associating TotalEnergies’ strategic decisions with the Argentine government’s reforms. He stressed the need for stable regulations to ensure sustained foreign investment and thanked the ambassador Ian Sielecki for his pivotal role in nurturing dialogue between TotalEnergies and the Argentine Government.
A legacy of nearly five decades underpins TotalEnergies’ operations in Argentina, with substantial contributions to both the gas sector and renewable energy initiatives. Through Total Austral, its Argentine subsidiary, it operates approximately 25% of the nation’s gas production.
In a demonstration of its long-term commitment, TotalEnergies is part of the CMA-1 concession in Tierra del Fuego, maintaining significant gas operations including the Fénix field, which started production in 2024 with a daily capacity of ten million cubic meters. Moreover, the company’s renewable assets include eight power plants split evenly between solar and wind, generating an impressive 1,200 GWh from an installed capacity of around 330 MW.
The company’s robust presence in Argentina highlights its strategic investment approach, continuously evolving alongside the energy needs of the nation and fostering cross-border business engagement.
Team V.DIR-EM-UAE
