Argentina’s government has approved two major energy industrialization projects under its Large Investment Incentive Regime (RIGI), signaling a renewed push to add value to Vaca Muerta shale output before export.
The Committee for the Evaluation of the RIGI regime granted status to initiatives by Pampa Energía and Mega, totaling approximately $3.06 billion in investment, located in the port city of Bahía Blanca in Buenos Aires province.
7 billion in a new urea plant, while Mega is committing $360 million to a facility for processing gas liquids.
Pampa Energía will invest $2.7 billion in a new urea plant, while Mega is committing $360 million to a facility for processing gas liquids.
Both projects are designed to utilize natural gas from the Vaca Muerta formation, a strategy intended to reduce upstream field costs and enhance the competitiveness of Argentine energy exports, particularly to neighboring Brazil.
The approvals come as Argentina seeks to unlock the full commercial potential of its shale resources.
Recent regulatory changes have dismantled key hurdles for exporting crude oil and refined products, aiming to attract foreign and domestic capital into the energy sector.