Could you briefly introduce the Argentine Institute of Oil and Gas (IAPG) and its role in Argentina's petrochemical industry?

The IAPG is a non-profit civil association organized as a technical institute that brings together nearly the entire value chain of Argentina's oil and gas industry. Our members include upstream and downstream oil and gas companies, oilfield service providers, manufacturers, importers, and specialized consulting firms.

It primarily functions as a technical body through its commissions, which are organized around various interdisciplinary specialties. These commissions include approximately 600 engineers, technicians, and other technical professionals from 170 member companies. Our work results in a wide range of activities, including the development of recommended practices, technical papers, joint work with national and provincial governments on regulations, conferences, publications, statistical systems, and, more recently, public outreach to explain the industry’s activities, particularly during the early stages of unconventional resource development such as shale gas and shale oil. How is Vaca Muerta transforming the state of the petrochemical industry in Argentina and the region?

Argentina has had a petroleum industry since 1907, making it one of the oldest in the world. By the early 2000s, conventional fields were in decline. Inspired by developments in the US, we began exploring the potential of our shale formations. Among several basins, Vaca Muerta stood out for its geological quality, thickness and productivity.

Vaca Muerta is in a region with nearly 100 years of oil production, which means the necessary infrastructure, services, and social license already exist. Since 2012, companies such as YPF, Techint, Pluspetrol, Shell, Total, Chevron, Equinor and Exxon have engaged in a rapid learning curve to develop these resources using the best available service providers.

The scale of the resource is transformative. According to Argentina's Secretariat of Energy, Vaca Muerta holds 253 trillion cubic feet of gas, which is sufficient for domestic needs, regional supply, and global export. This creates a tremendous opportunity for Argentina and Latin America. How is infrastructure development progressing in support of this expansion, particularly in the context of exports?

In the early development of Vaca Muerta, one of the main challenges we faced was evacuation infrastructure, especially for gas, which is more complex than oil. Argentina’s previous government built an initial pipeline that improved transport to domestic consumption centers. Today, the focus has shifted to export infrastructure.

This includes projects for LNG export and the reversal of the northern gas pipeline, which previously brought gas from Bolivia but is now being used to export gas through Bolivia to Brazil. Many of the export pipelines built in the 1990s, which had been out of service since 2004–2005 when exports were suspended, are now being reactivated.

There are also midstream investment projects underway. The LNG segment represents a major opportunity. Recent changes in national policy and macroeconomic improvements have increased investment interest, although continued progress is necessary to build investor confidence. Vaca Muerta currently operates below capacity, but holds immense potential. How will Argentina's new policy framework, including the Ley de Bases, impact investment and regulation?

The Ley de Bases is a broad legislative reform package that reestablishes export freedoms and grants companies access to foreign exchange earnings, among other changes. This is being reinforced by efforts to eliminate the fiscal deficit and gradually lift currency controls.

While foreign investors may still be cautious and await further political confirmation, particularly in this year’s midterm elections, I believe the trajectory is clear. Companies have already started to outline investment plans. Additional legal reforms have reinforced protections for foreign investors, which, although seemingly redundant in a well-functioning legal system, are important signals in the Argentine context. What is the importance of the APLA meeting and the opportunity to engage with different parts of the industry?

Coming from the oil and gas sector, I participated in this meeting to focus on logistics and regional energy integration. Oil and gas from Vaca Muerta are crucial for regional petrochemical development, and I see integration and export as strategic priorities.

My aim here has been to explain Vaca Muerta’s status, share key data, and highlight the first steps toward regional integration, drawing from initiatives implemented in the 1990s. I consider this gathering a valuable space for cross-sector dialogue and alignment on shared opportunities and challenges.