Eni and YPF, Argentina’s state-owned energy company, have formally signed an agreement to advance the Argentina LNG (ARGLNG) project. The announcement was made during a bilateral meeting between Argentine President Javier Milei and Italian Prime Minister Giorgia Meloni, underscoring the project's significance for both nations.

The agreement outlines the essential milestones required to reach a Final Investment Decision (FID) for the initial phase of the Argentina LNG initiative. This stage will encompass the development of infrastructure for the production, treatment, transportation and liquefaction of natural gas through floating liquefied natural gas (FLNG) units. The project aims to achieve an annual liquefaction capacity of 12 million metric tons of LNG during this first development phase.

Argentina LNG represents a major integrated gas development undertaking, targeting the vast unconventional gas reserves of the Vaca Muerta shale formation in the Neuquén Basin. The project is designed to link upstream and midstream segments in a comprehensive supply chain to serve global energy markets. Through a phased rollout, Argentina LNG aspires to reach a total export capacity of up to 30 million metric tons of LNG annually by 2030, significantly positioning Argentina as a key global player in LNG exports.

Eni has been selected as a strategic partner for the ARGLNG project based on its deep expertise in floating liquefied natural gas technology and its successful execution of FLNG projects in the Republic of the Congo and Mozambique. The company’s reputation for rapid project delivery, advanced technological capabilities, and global energy infrastructure experience contributed to its selection by YPF.

The newly signed agreement builds upon a Memorandum of Understanding (MoU) signed by the two companies on April 14, 2025. It marks a major step forward in the development of the Argentina LNG project, reinforcing the mutual commitment to the project’s successful implementation.

This partnership aligns with Eni’s broader strategic objective to drive the global energy transition. By focusing on expanding natural gas production, Eni aims to provide a lower-carbon energy source while ensuring global energy security and affordability. The company remains committed to achieving carbon neutrality by 2050 and views natural gas, including LNG, as a critical bridge in the shift from traditional fossil fuels to renewable energy sources.

The Argentina LNG project is expected to play a central role in the evolution of Argentina’s energy sector, stimulate economic growth, attract foreign investment, and provide the infrastructure necessary to connect its vast natural gas resources with the growing global demand for cleaner energy solutions.