Management by Enargas and the Energy Secretariat
Naturgy, Argentina’s second-largest natural gas distributor by network, serving more than 2.5 million users across six provinces, is in advanced stages of obtaining a 20-year extension of its distribution licenses.
Industry sources told Shale24 that final decisions for several distributor groups, including Naturgy, could be announced in the coming weeks, against a backdrop of tariff normalization, the five-year tariff review (Revisión Tarifaria Quinquenal, RTQ), and a gas oversupply from Vaca Muerta driving investment and network expansion.
Operations and ongoing license renewals
Naturgy primarily operates through two units, each undergoing separate extension processes:
- Naturgy BAN (formerly Gas Natural BAN): Covers 30 districts in northern and western Greater Buenos Aires, serving 1.677 million users—about 15% of the national residential and commercial market. It started in 1992 with 911,000 clients and 15,541 km of network; today, it has doubled its infrastructure to 27,689 km. Naturgy BAN participated in the July 31, 2025 public hearing alongside Distribuidora Gas Cuyana and Distribuidora Gas del Centro (both part of the Ecogas group, controlled by Central Puerto). Marcela Córdoba, Naturgy BAN’s Director of Regulation and Tariffs, highlighted “substantial compliance” despite long periods without full tariff reviews and exercised the right to extend the license through 2047.
- Naturgy NOA: Operates in the northwest (Jujuy, Salta, Tucumán and Santiago del Estero), with historical investments exceeding $194 million (adjusted to over $321 million). Its license expires in 2027. The unit took part in the October 7, 2025 public hearing alongside Camuzzi Gas del Sur and Gas NEA. The hearing was validated by Resolution 794/2025 (October 2025), and Enargas is preparing the submission to the Energy Secretariat for extension until 2047 (up to 2052 for Gas NEA).
Extensions of 10 to 20 years
The legal framework guiding the process is Law 24.076, amended by the 2024 Ley Bases, which extended license renewals from 10 to 20 years. Within this framework, Enargas verified “substantial compliance” through a comprehensive set of technical, economic and legal reports prepared by internal departments such as Gas Dispatch (GD), Regulatory Economic Control (GCER), User Protection (GPU), Legal Affairs (GAL), Administration (GA), and Performance and Economics (GDYE), among others.
These reports assess service quality, execution of mandatory investments, correction of identified deficiencies, safety standards, and user protection, confirming that no substantial noncompliance would prevent license renewal. For Naturgy NOA, specific reports were issued, and a similar procedure applied to Naturgy BAN, where reports confirmed rigorous compliance with technical and regulatory obligations.
Other groups moving faster
At the same time, other groups are moving ahead more quickly:
- Most advanced group: Metrogas (over 2.5 million users in Buenos Aires city and southern suburbs; historical investments >$1.155 billion, additional RTQ commitment $177 million), Litoral Gas (Santa Fe and northern Buenos Aires), and Camuzzi Gas Pampeana (La Pampa and most of Buenos Aires). They participated in Public Hearing No. 107 (May 20, 2025), with a favorable Enargas ruling submitted in July. Together, they serve over 4.6 million users. The extension is key for YPF to sell its 70% stake in Metrogas, estimated at over $700 million. Sources indicate a resolution is imminent despite bureaucratic delays.
- Ecogas group: Distribuidora Gas Cuyana (Mendoza, San Juan, San Luis; notable project: $7 million LPG plant in Malargüe) and Distribuidora Gas del Centro (Córdoba and central regions). They shared the hearing with Naturgy BAN. Represented by Juan Enrique Salum, they highlighted investments and compliance, with a five-year commitment of around $76.7 million.
The sector as a whole serves over 9.3 million users. License extensions for Naturgy and other distributors would ensure continuity in critical areas (AMBA, NOA, interior provinces), enhance competitiveness, and support expansion amid abundant shale gas. The executive branch has 120 days from the ruling to decide.