ARGENTINA · ENERGY
Key Facts
- The decision Argentina’s Economy Ministry formally admitted two gas projects to its big-investment regime on Thursday 12 November 2026.
- The money The projects total about US$3.24 billion in eligible assets, split US$1.85 billion and US$1.39 billion.
- The plan A 577 km (359-mile) pipeline and processing plants to send propane and butane abroad.
- The timeline Construction began in May 2026, and start-up is planned for Friday 1 February 2030.
- Power Index Argentina ranks 4th of 14 in The Rio Times Latin America Power Index, with 60.2 points (November 2026 edition).
Argentina’s Economy Ministry formally admitted two gas-liquids projects to its RIGI incentive regime on Thursday 12 November 2026, and published the decisions in the Official Gazette on Friday 13 November. The projects total about US$3.24 billion and would turn gas from Vaca Muerta, Argentina’s giant shale formation, into propane and butane for export.
For US readers, the decision locks in tax and legal stability for a major energy build-out. The processing project would connect to the Tratayén plant of TGS (Transportadora de Gas del Sur), a gas transport company that files annual reports with the US Securities and Exchange Commission.
What Happened
Resolutions 1976/2026 and 1977/2026 of the Economy Ministry are dated Thursday 12 November 2026. They approve the entry of two project companies, Midstream de Gas del Sur (MGS) and Procesadora de Gas del Sur (PGS), into the RIGI, the Spanish-language acronym for the Regime of Incentives for Large Investments.
The RIGI gives approved projects long-term legal and tax stability, customs relief on imported equipment and a set route for settling disputes. Both companies applied on Friday 5 June 2026, and each is limited by law to a single project.
The regime’s project evaluation committee recommended approval of both projects on Monday 19 October 2026, according to the resolutions. The ministry’s energy secretariat found that both plans meet the RIGI requirements.
Two Projects, One Export Chain
MGS would build a 577 km, 20-inch pipeline from the Tratayén plant in Neuquén province to General Daniel Cerri, near Bahía Blanca. It would also build a plant that splits 90,000 barrels a day of natural gas liquids and a storage and dispatch terminal at the port of Bahía Blanca.
Natural gas liquids are the heavier parts of wet shale gas, such as propane, butane and natural gasoline. The resolution says they would be sold mainly for export, and MGS declared US$1.85 billion in eligible assets.
PGS would build two 24-inch gathering lines, one from Sierra Chata and one from Fortín de Piedra, joined into a 30-inch line to the Tratayén processing plant. It would convert two existing processing modules and add two new ones, lifting capacity to 1.2 billion standard cubic feet a day of rich gas, meaning gas that still carries propane and butane, and declared US$1.39 billion.
The Spending Schedule
MGS committed US$499 million in the first year after notification and US$607 million in the second. PGS committed US$239 million and US$360 million over the same two years.
The deadline to reach the minimum investment is Saturday 31 July 2027 for MGS and Thursday 30 September 2027 for PGS. Both companies promised to buy at least 20% of the total investment from local suppliers, and both say the investment is at their own cost and risk.
What It Means for You
If you hold Argentine energy shares through a US fund, the resolutions turn an October recommendation into a legal right to the incentives. They do not change what TGS earns today, because the plants are not due to start until 2030.
For the wider market, the plan would add propane and butane exports from Vaca Muerta. It would also tie part of Argentina’s gas income to world propane and butane prices.
What Is Not Known
The resolutions name no lenders, and they say the investment is at the companies’ own cost and risk. The detailed currency flows of both projects are not in the published text.
It is not known how much the projects will earn from exports, or whether construction can keep the 2030 start-up date. The resolutions list the investment, but they do not publish the companies’ revenue forecasts.
More: Argentina news in English, every day from The Rio Times.
Frequently Asked Questions
What Is Argentina’s RIGI?
It is the Regime of Incentives for Large Investments, created by law 27.742. Approved projects get long-term tax, customs and legal protections in return for large, committed spending.
How Much Will the Two Projects Cost?
The two resolutions list US$1.85 billion in eligible assets for MGS and US$1.39 billion for PGS. Together that is about US$3.24 billion.
When Will the Plants Start Operating?
Both project companies estimate start-up on Friday 1 February 2030. They say construction began in May 2026, and they assume a 30-year working life.
Sources: Argentina’s Economy Ministry, Resolution 1976/2026 (Midstream de Gas del Sur), Official Gazette, 13 November 2026; Argentina’s Economy Ministry, Resolution 1977/2026 (Procesadora de Gas del Sur), Official Gazette, 13 November 2026.
In depth
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