YPF, Eni and XRG have signed a binding joint development agreement (JDA) to advance the proposed Argentina LNG project, marking a key step toward a final investment decision and positioning the country to become a major global liquefied natural gas exporter.
The large-scale integrated gas and liquefaction development is designed to monetize resources from Argentina’s Vaca Muerta shale and support long-term LNG exports. The project is expected to deliver total liquefaction capacity of 12 million tonnes per year through two floating LNG (FLNG) facilities, each with capacity of 6 MMtpa.
The agreement establishes a work program for the next phase of development, including front-end engineering design (FEED), technical studies and commercial structuring. The partners will also advance financing and project definition activities as they target a potential final investment decision in the second half of 2026.
Argentina LNG is planned as a fully integrated development encompassing upstream production, gas processing, transportation and liquefaction infrastructure. Project sponsors say the development is intended to unlock large-scale investment, expand export capacity and support Argentina’s emergence as a long-term LNG supplier to global markets.
The addition of XRG as a project partner alongside YPF and Eni expands the consortium’s technical and financial capabilities as development progresses. The partners said the agreement represents another milestone in advancing one of the most significant proposed LNG export projects linked to South America’s growing unconventional gas resource base.
