The arrival of the “king of fracking”
As 2025 draws to a close, Argentina’s energy sector marks one of the year’s last historic milestones with news that reshapes the investment map in Vaca Muerta heading into 2026.
The government of Neuquén Province has formally granted approval for Continental Resources to enter the strategic Los Toldos II Oeste area, cementing the arrival of one of the most disruptive U.S. oil companies in the Vaca Muerta formation.
This government decision is more than an administrative formality; it is the final authorization allowing the Oklahoma-based company to take operational control of a block with the potential for extraordinary shale oil productivity. Continental’s arrival is seen as both a technical validation of Neuquén’s geological potential and a strong endorsement of the region’s legal framework for attracting top-tier investment.
The move follows a portfolio optimization process initiated by operator Pluspetrol, which only last month, at the end of November, announced an agreement to sell 90% of its stake in Los Toldos II Oeste to Continental Resources. According to industry technical reports, the area has a prime location and has already shown encouraging exploratory results, justifying the interest of a company experienced in operating in some of the world’s most competitive basins.
Through this transaction, Pluspetrol achieves a strategic asset rotation, focusing resources on large-scale projects where it already holds an operational advantage, while Continental makes its triumphant entry into Argentina, acquiring a low-geological-risk asset with exponential growth potential.
The Origins of the “King of Fracking”
Understanding the significance of this development requires looking at the figure behind Continental Resources: Harold Hamm. Revered in Wall Street circles and North Dakota oil fields alike, he has earned the nickname “The King of Fracking.” This is not marketing hype but recognition of his pioneering role in commercial horizontal drilling and large-scale hydraulic fracturing.
Continental was the company that unlocked the Bakken Basin, demonstrating that oil could be economically extracted from low-permeability rock, sparking the shale revolution that reshaped global energy geopolitics over the past two decades.
In the United States, Continental Resources is a benchmark for technical efficiency and commercial aggressiveness. It holds leading positions in the country’s four key unconventional basins: the Bakken in North Dakota and Montana, where it is the largest leaseholder and producer; the Anadarko Basin in Oklahoma, including the prolific SCOOP and STACK plays; the Powder River Basin in Wyoming; and, more recently, its expansion into the Permian Basin in Texas.
This geographic diversification gives the company technical know-how that will now be applied to the Neuquén region.
Hamm’s interest in Vaca Muerta aligns with Continental’s international business strategy. The company sees the Argentine formation as a geological “mirror” outside the U.S., with world-class characteristics capable of competing in productivity with the Permian or Bakken.
By establishing itself in Neuquén, Continental seeks not only to diversify geographic risk but also to implement next-generation well completion technologies to maximize return on investment in one of the world’s most profitable energy frontiers today. The Neuquén government’s approval effectively marks the start of a new era, combining U.S. shale expertise with Argentina’s subsurface wealth to boost the country’s export profile.
Details of the Decree
Neuquén’s government approved Addendum II to the Joint Venture (UT) Contract for Los Toldos II Oeste, located in the northern part of the Neuquén Basin. The approval was signed by Gas y Petróleo del Neuquén S.A. (GyP), Pluspetrol Cuenca Neuquina S.R.L., and Continental Resources Argentina S.A.U.
With this contractual amendment, Continental Resources Argentina S.A.U. will assume all rights and obligations corresponding to the percentage of participation transferred by Pluspetrol Cuenca Neuquina S.R.L., joining the joint venture (UT) with a 90% stake, while GyP will retain the remaining 10%. Continental was also designated as the operator of the area. Continental Resources Argentina S.A.U. is controlled by the U.S.-based Continental Resources Inc.
Decree No. 1761/2025 was signed by Governor Rolando Figueroa and Ministers of Energy Gustavo Medele and of Economy, Production, and Industry Guillermo Koenig. The decree establishes that Pluspetrol Cuenca Neuquina must make a total payment of $9 million to the province, according to the schedule outlined in Addendum II.
These funds may be allocated by the provincial government for investments, projects, or disbursements it deems appropriate, including infrastructure, health, education, or security.
The decree also sets Feb. 27, 2026, as the deadline for submitting an updated Area Development Plan to the regulatory authority, in accordance with the guidelines established by current regulations.