Abu Dhabi's XRG, the international investment arm of ADNOC, and Italy's Eni have signed agreements to acquire minority stakes in three upstream gas blocks located in Argentina's Vaca Muerta shale basin. According to reports, the transaction encompasses the Meseta Buena Esperanza, Aguada Villanueva, and Las Tacanas unconventional gas blocks, which are directly linked to Argentina's LNG export infrastructure. Under the newly executed Sale and Purchase Agreements, both XRG and Eni will each hold a 32% stake in the respective properties.
The move underscores growing international interest in Argentina's unconventional gas resources amid rising global energy demand. The Vaca Muerta formation has emerged as a key strategic asset in South America, attracting capital from major energy players seeking to diversify their portfolios and secure long-term supply contracts. By securing positions in these gas blocks, both ADNOC and Eni are positioning themselves to participate in liquefied natural gas production and export opportunities tied to Argentina's expanding LNG sector.
This partnership reflects broader trends in the energy sector, where established oil and gas companies are increasingly collaborating to share development risks and capital requirements for large-scale projects. The collaboration between the Abu Dhabi state energy giant and the Italian multinational signals confidence in Argentina's ability to develop and monetize its substantial shale gas resources for the international market.