Vaca Muerta output growth drives Argentina toward energy self-sufficiency, LNG export goals

State-owned YPF is also making headway on larger projects with partners Shell and Eni, with Rystad projecting them to reach full capacity by the late 2030s.

Norwegian energy firm Equinor also reversed an earlier decision to exit Vaca Muerta, citing improved infrastructure and export viability, which Rystad said signals renewed investor confidence in the zone.

Vaca Muerta is attracting sizeable investments, Rystad argued, adding that in the first quarter, merger and acquisition deals in the formation accounted for 43 per cent of all upstream, or oil and gas exploration and production, transactions across Latin America.

(Reporting by Kylie Madry Editing by Bill Berkrot)