Eni, YPF and XRG sign binding JDA to advance 12 mtpa Argentina LNG project targeting 2026 FID decision milestone.
Eni, YPF and XRG, the core partners behind the Argentina LNG initiative, have entered into a binding Joint Development Agreement (JDA) to further advance the large-scale liquefied natural gas project. The agreement represents a significant step forward in the evolution of Argentina LNG, a fully integrated gas production and liquefaction development aimed at unlocking the vast potential of the Vaca Muerta shale basin and establishing Argentina as a reliable long-term LNG exporter in the global energy market.
The Argentina LNG project is designed to deliver a total liquefaction capacity of 12 million tons per annum (mtpa). This output will be achieved through the deployment of two floating LNG (FLNG) units, each with a capacity of 6 mtpa. The integrated development plan encompasses upstream gas production, treatment and processing facilities, transportation networks, and LNG export infrastructure. By combining these components into a coordinated value chain, the partners aim to optimize efficiency, ensure operational reliability, and enhance Argentina’s competitiveness in international LNG markets.
The signing of the JDA sets out a clear roadmap for progressing into the next phase of development. Under the terms of the agreement, the three companies will initiate Front-End Engineering Design (FEED) activities. This phase will include detailed engineering studies, technical evaluations, project structuring, and advancement of commercial and financing frameworks. The FEED process is a critical milestone that will refine cost estimates, confirm technical configurations, and prepare the project for a Final Investment Decision (FID).
Horacio Marín, President and CEO of YPF, highlighted that the agreement formalizes XRG’s entry into the partnership alongside Eni. He emphasized that the inclusion of two globally recognized energy players strengthens the strategic positioning of Argentina LNG as a world-class project. According to Marín, the partners are now intensifying efforts to move toward FID in the second half of 2026, signaling their ambition to maintain project momentum and meet development timelines.
Guido Brusco, Chief Operating Officer Global Natural Resources at Eni, noted that the addition of XRG further enhances the project’s capabilities and global outlook. He described Argentina LNG as one of the most promising emerging opportunities in the global gas sector, underscoring the combination of technological expertise and strategic collaboration shaping its development.
Mohamed Al Aryani, President of International Gas at XRG, pointed to the substantial potential of Argentina LNG and described the JDA as an important milestone. He reiterated the shared objective of the three partners to advance a large-scale LNG development that provides dependable and flexible energy supplies to global markets while generating long-term value for stakeholders and local communities.
Through this strengthened partnership and clearly defined development pathway, Argentina LNG is positioning itself as a transformative project for the country’s energy sector and a meaningful contributor to global LNG supply.
