Argentina advances gas projects: Neuquén approves LNG export law and national pipeline saves $9 bn

The Neuquén provincial legislature voted 27‑to‑8 to ratify an agreement with YPF that creates a fiscal‑stability framework and differential royalty regime for a large‑scale LNG export project. The law gives the province a 30‑year fiscal guarantee, a sliding‑scale royalty band of 7.5‑12 % tied to international prices, and obliges YPF to pay a $175 million infrastructure bonus. Proponents say the measure will allow Neuquén to “sell its gas to the world” and position the province as a key LNG supplier to Europe, with the first vessel expected to sail next year and an estimated investment of about $25 billion.

A separate study by the Fundación Encuentro evaluated the Gasoducto Presidente Néstor Kirchner – now called the Gasoducto Perito Moreno – three years after its commissioning. The report found that the $2.3 billion pipeline has generated cumulative savings of $9.122 billion in foreign‑exchange, a return of 3.97 times the investment. Savings stem mainly from replacing imported LNG, gasoil and other fuels, while the line has injected roughly 17 000 billion m³ of gas into the national system and created about 48 800 jobs during construction. The pipeline supports Vaca Muerta’s production, which now sustains around 12 750 jobs.

Together, the legislative approval in Neuquén and the proven economics of the national pipeline underscore Argentina’s drive toward energy sovereignty, export growth and reduced dependence on imported fuels.