Argentina will tender 5-6 LNG cargoes next week to address winter gas demand, starting the bidding process on March 17. The number of shipments is expected to be lower than last year due to similar weather conditions. Enhanced production from the Vaca Muerta Formation aims to reduce energy imports and improve the country’s economic surplus.
Argentina is poised to tender for five to six liquefied natural gas (LNG) cargoes next week in preparation for the upcoming winter season in the southern hemisphere. The bidding process is set to commence on March 17, with expectations to receive proposals during the week of March 25. Last year’s LNG tender resulted in 10 imported cargoes out of a total of 30 for the year.
An executive from Excelerate Energy, the sole operator of Argentina’s LNG import facility, indicated at the CERAWeek Conference in Houston that there has been no request for a floating regasification unit for this winter. Daniel Gonzalez, Secretary of Energy and Mining Coordination, stated that the number of LNG shipments anticipated for this year will likely be lower than last year’s figures, contingent upon similar weather conditions.
Argentina is actively increasing its production from the Vaca Muerta Formation, recognized as the world’s second-largest unconventional gas reserve and fourth-largest oil reserve. The government’s strategy aims to curtail energy imports and bolster domestic production to improve financial stability, particularly after facing energy trade deficits. In 2024, energy trades generated a surplus totaling $5.67 billion, reflecting a crucial improvement in the nation’s economic standing.
In summary, Argentina’s upcoming tender for 5-6 LNG cargoes aims to satisfy winter gas demand while potentially reducing energy import reliance. Last year’s successful tender resulted in multiple shipments, but forecasts suggest this year’s imports will be fewer, depending on climatic conditions. The nation’s enhanced natural gas production from Vaca Muerta further supports its objective to improve energy independence and economic health.
Original Source: www.marinelink.com
