Argentina’s Shale Push Gains Speed with New YPF Stake

YPF’s bold Vaca Muerta expansion boosts shale momentum and signals rising export and infrastructure opportunities

17 Nov 2025

Argentina’s shale heartland is shifting again. YPF, the state-controlled oil firm, plans to buy a large operated stake in two choice Vaca Muerta blocks for around $500m. The move, which still awaits routine approvals, would transfer control of Rincón La Ceniza and La Escalonada from TotalEnergies while preserving the partnership structure. The change gives YPF greater sway over drilling calendars and long-term spending. A senior executive described the step as “a strategic lift” for the firm’s growth plan. TotalEnergies noted that the agreement remains subject to standard clearance.

For the French major, the sale fits a broader trend. Big energy firms are trimming portfolios to focus on faster-yielding assets that offer cleaner metrics and tighter financial discipline. Analysts see such pruning as a rational response to volatile markets and uncertain regulation.

Should the transfer close, YPF would be able to knit together development across a wider patch of the basin. That could lower costs and simplify field operations. The timing is apt. Argentina is exploring ways to expand gas exports, including talks with Eni. These discussions are separate from the deal, yet they highlight how extra Vaca Muerta output could anchor new export routes.

Constraints remain. Infrastructure gaps, shifting rules and a shaky economy still colour investor sentiment. Local communities and environmental groups continue to demand responsible development as drilling advances. A regional policymaker said that lasting progress will require “predictable rules, steady investment, and strong oversight”.

Yet the mood around Vaca Muerta has brightened. YPF’s move is a modest but telling sign that Argentina hopes to claim a larger place in the hemisphere’s changing energy map.