US court orders Argentina to surrender 51% stake in YPF, impacting shale and FX plans

From Yahoo Finance: 2025-07-01 11:49:00

A U.S. court has ordered Argentina to surrender its 51% stake in state energy firm YPF within 14 days. The ruling stems from a $16.1 billion judgment over the firm’s 2012 nationalization. Argentina plans to appeal to protect national interests and preserve its Vaca Muerta shale formation ambitions.

YPF, a key player in Vaca Muerta, produces over 400,000 barrels of oil and 70 million cubic meters of gas daily. The ruling adds uncertainty to Argentina’s energy goals. Analysts suggest the ruling could hinder Argentina’s return to global markets, impacting YPF’s fundraising and planning capabilities.

The legal dispute dates back to Argentina’s seizure of YPF from Spain’s Repsol in 2012. The court awarded damages totaling $16.1 billion to minority investors Petersen Energia Inversora and Eton Park Capital Management. The ruling could force Argentina to negotiate the shares’ surrender, as securing congressional approval seems unlikely.

Read more: YPF turnover ruling in US casts shadow on Argentina’s shale, FX plans