Vaca Muerta oil production drives Argentina to new crude record

Argentina’s crude oil production reached a new record in July 2026, driven by the continued expansion of Vaca Muerta and its growing role in the country’s export economy.

National oil output reached 916,200 barrels per day in July, up 17.2% from the same month in 2025, according to reports cited by Agencia Noticias Argentinas. Agencia Noticias Argentinas

The increase was led by Vaca Muerta, the unconventional formation in Neuquén province that has become the main engine of Argentina’s hydrocarbons growth. The shale formation produced 643,100 barrels per day in July, a 26.4% year-on-year increase. It now accounts for more than 70% of Argentina’s total crude output. Telefe Noticias

Vaca Muerta lifts export capacity

The production record is also reshaping Argentina’s foreign trade profile. Higher crude availability has helped make oil the country’s top export product so far in 2026, overtaking traditional agroindustrial goods such as soybean meal and pellets, according to local reports. Todo Noticias

For exporters, shipping companies and port operators, the trend points to a structural shift in Argentina’s cargo mix. Vaca Muerta oil production is increasing exportable surpluses and supporting demand for pipeline capacity, storage, tanker loading infrastructure and crude-export logistics.

The growth also reduces Argentina’s reliance on imported energy, helping improve the country’s trade balance while adding a new source of hard-currency revenue.

Natural gas output also grows

Vaca Muerta’s expansion is not limited to oil. Argentina’s natural gas production stood at 158.8 million cubic meters per day in July, with Vaca Muerta contributing 96.5 million cubic meters per day. Gas output from the formation rose 5.9% from July 2025. infobae

The figures underscore the increasing weight of the Neuquén basin in both oil and gas. They also reinforce the strategic importance of infrastructure projects designed to move hydrocarbons from inland production areas to domestic demand centers and export outlets.

The rise in production has been accompanied by a larger role for private companies in field development and operations. As new projects advance, Argentina’s energy sector is becoming more closely tied to logistics planning, port capacity and long-term export contracts.

Source: Agencia NA

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