Milei Addresses Oil Executives: Embraces Vaca Muerta Boom, Highlights Record Exports and Denies Peso Overvaluation – Clarín | 19/10/26

President Javier Milei attended the Argentina Oil & Gas exhibition in Neuquén, where he highlighted the growth of hydrocarbon production in Vaca Muerta, defended the Incentive Regime for Large Investments (RIGI) and rejected claims that the Argentine peso is overvalued. During his speech, he attributed part of the sector’s expansion to reforms implemented by his administration, while leading oil industry executives expressed support for changes to the Hydrocarbons Law and investment incentives. Argentina’s oil production increased from 635,000 barrels per day at the end of 2023 to 943,000 in August 2026, with unconventional production accounting for 72% of the total, and output is projected to reach one million barrels per day before the end of the year. The event brought together 550 exhibiting companies across 25,000 square meters, along with international delegations comprising 20 companies from Alberta, Canada, and 30 from Texas, United States. Regarding investments, the government confirmed the approval of a US$12.4 billion project submitted by Pluspetrol and two additional projects totaling US$3.2 billion from Transportadora de Gas del Sur (TGS), bringing the number of approved RIGI initiatives to 25, with committed investments totaling US$68.438 billion, of which 43% are linked to unconventional oil and gas. However, industry executives expressed concern over the increase in Argentina’s country risk to 675 basis points, its highest level in 2026, due to its potential impact on access to financing and the pace of investment. During the year, oil companies issued US$4.575 billion in debt in New York, representing 59% of international debt placements by Argentine companies. Finally, Milei highlighted that the energy trade surplus accumulated between January and September reached US$9.427 billion, exceeding the result for all of 2025, driven by higher export volumes and international oil prices. The president used these figures to defend his economic policies, argue that the peso is not overvalued and reaffirm the importance of RIGI as a tool to attract investment and expand Argentina’s presence in international markets. Link to Article