Argentina LNG
Shell and ADNOC 's subsidiary XRG are days away from joining YPF and Eni's Argentina LNG liquefied natural gas (LNG) export project. This information was confirmed to Shale24 by sources in the energy sector.
Negotiations are progressing toward a possible conclusion during the ADIPEC trade fair in Abu Dhabi, scheduled to begin next Monday. The entry of both companies would aim to strengthen the consortium with financing and global logistics expertise for the initial phase of 12 million tons per year.
YPF and Eni, each with a 50% stake, signed a final technical description agreement on October 10, 2025, for phase one of the project, valued at US$50 billion over its development. The initiative, located off the Patagonian coast, will require drilling 800 new wells in Vaca Muerta to double YPF's gas production compared to 2024. Shell had signed a preliminary memorandum with YPF in September 2025, while XRG began preliminary talks this week.
The project aims to export up to 18 million tons of LNG per year in its second phase, equivalent to 75 million cubic meters of natural gas per day, targeting markets in Europe and Asia. It includes the construction of three floating storage and offloading (FSOL) vessels, each with a capacity of 6 million tons, financed in part with $20 billion in international loans. The total investment is estimated at $85 billion over 20 years.
Key executives, including the CEOs of ADNOC, Eni, Shell, and YPF , will attend ADIPEC for potential announcements. The financial terms of Shell and XRG's stakes have not been detailed, but their involvement is focused on mitigating volatile price risks and accelerating development. The project is part of Argentina's efforts to diversify exports beyond crude oil commodities.
The final investment decision is projected for the end of 2025, with initial operations in 2028 and expansions to 28 million tons by 2030. The development depends on regulatory and economic stability in Argentina, amid sustained global demand for LNG in the energy transition.
ADIPEC 2025 is coming
ADIPEC 2025, the Abu Dhabi International Petroleum Exhibition and Conference , will be held from November 3 to 6 at the Abu Dhabi National Exhibition Centre. The event will bring together global energy industry leaders for more than 380 sessions and will feature over 1,800 speakers across 12 programs, including strategic and technical conferences.
It focuses on challenges such as energy security, artificial intelligence, and decarbonization across the energy value chain. Highlights include 10 strategic conferences with ministers and executive directors, and two technical conferences aimed at innovators in the sector.
Notable speakers include Suhail Mohamed Al Mazrouei, UAE Minister of Energy and Infrastructure; Hardeep S. Puri, India's Minister of Petroleum and Natural Gas; and CEOs such as Murray Auchincloss of bp and Tayba Al Hashemi of ADNOC Offshore. The event includes a dedicated decarbonization zone, with an emphasis on clean energy transitions, although no specific sessions on LNG or Latin America have been announced.