Eni and YPF ink deal for Argentina LNG

ROME, June 9, 2025 – Italy’s Eni and Argentina’s YPF have signed an agreement to advance the Argentina LNG project in Argentina’a Rio Negro province, the companies announced on Friday.

The accord outlines steps for the development of upstream and midstream infrastructure, including for gas production, treatment, transportation and liquefaction aboard floating units offshore Punta Colorada.

In a first phase, the Argentina LNG project aims to achieve a liquefaction capacity of 12 million tonnes per year (tpy), with a target to phase up to 30 million tpy by 2030. The facility will utilise natural gas resources from the Vaca Muerta field and serve international markets.

The deal follows an MoU signed in April 2025 and was signed during a bilateral meeting in Rome between Argentina’s president, Javier Milei, and Italy’s prime minister, Giorgia Meloni, and is a step towards reaching a FID on the project.

“We are making very rapid progress with Eni. We are confident that before the end of the year, we will be able to reach the FID and realise this phase of this project, which is key to our country’s energy future,” said Horacio Marín, YPF president and CEO.

Eni has experience in FLNG projects in the Republic of Congo and Mozambique. In Mozambique, the company heads up the Coral Sul FLNG, the country’s first operating LNG project and the second-largest FLNG vessel in the world, and is on track to launch sister project Coral Norts FLNG.

Photo of Vaca Muerta courtesy of YPF

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