Argentina surpassed Colombia to become South America’s fourth-largest oil producer, driven by a boom in unconventional hydrocarbons since Buenos Aires nationalized YPF in 2012. In November 2025, crude oil production hit 844,386 barrels per day, 12.5% higher than the previous year, with shale oil production reaching 578,461 barrels per day. However, natural gas production fell to 4.2 billion cubic feet per day.

Shale oil and gas production in the Vaca Muerta shale formation are responsible for Argentina’s production growth, with YPF leading the boom. Despite challenges like weaker spot prices and infrastructure limitations, YPF plans to invest $36 billion between 2025 and 2030 to develop its acreage. The Vaca Muerta is estimated to hold 16 billion barrels of oil and 308 trillion cubic feet of gas.

YPF’s focus on developing the Vaca Muerta will drive Argentina’s oil and gas output higher, with forecasts predicting 1-1.5 million barrels of oil per day and over 6 billion cubic feet of gas per day by 2030. YPF’s efficient operations in the shale formation, with low lifting costs of $8.80 per barrel, are expected to sustain profitability even at $40-45 per barrel. By 2024, Argentina emerged as a net energy exporter.

Read more at Yahoo Finance: Argentina’s Shale Boom Propels It Past Colombia in Oil Output