Argentina expects an $8 billion surplus in the energy trade balance for this year

Federico Valler said that Argentina is expecting an $8 billion surplus this year in its energy trade, up from a $5.7 million surplus last year. This is due to new government policies which encourage investment.

An executive of Argentina's second largest shale producer Vista Energy told reporters earlier on Tuesday that the country may register an energy surplus between $5 billion to $6 billion this coming year. This is due to the activity of the Vaca Muerta Formation, which is one of the largest shale deposits in the world.

At an event in Buenos Aires on March 25, Vista's executive Juan Baylac stated that Argentina's potential exports would likely improve by 2025 if equipment continued to be imported into Argentina and if investment was made in equipment, wells, infrastructure projects, etc.

YPF, the state-owned oil company, is working with partners like Vista Shell and Chevron to develop key infrastructure projects.

Walter Actis, vice president for Supply Chains at YPF, stated that the benefits of a tax benefit regime imposed by Argentina to attract investment had already been felt.

Actis said that government tax incentives spurred investment, and foreign suppliers showed "significant" interest. Some companies formed alliances.

(source: Reuters)