TanGo Energy accelerates shale drilling in Argentina's Vaca Muerta

TanGo Energy has accelerated its shale oil development in Argentina, completing its first unconventional well, Charco del Palenque 1001, in the Río Negro province. This move advances the company's timeline significantly; while drilling was previously projected to begin in 2027, the operator now expects to start fracturing operations before the end of the year and achieve initial production by December.

The pilot program in the Charco del Palenque area involves a US$66 million investment and includes a total of four wells. These wells feature lateral branches of approximately 3,500 meters and will utilize roughly 250 tons of sand per fracturing stage. The company aims to exceed 60,000 barrels of oil per day in this area and intends to apply for a RIGI incentive for a US$1 billion project.

In addition to the Río Negro operations, TanGo Energy is preparing for future exploration in Mendoza. CEO Pablo Iuliano indicated that the company is working toward drilling in the Payún Oeste block in Malargüe between late 2026 and early 2027 to determine if commercial-scale development of Vaca Muerta is viable in that region.