Argentina has overtaken Brazil and Trinidad and Tobago to become the largest natural gas producer in Latin America and the Caribbean, with 21% of regional output, according to the latest Oil and Natural Gas Report for Latin America and the Caribbean published by the Latin American & Caribbean Energy Organization (OLACDE), the regional intergovernmental energy body based in Quito.
The lead is driven primarily by the development of unconventional resources at the Vaca Muerta formation — one of the world's largest shale plays, located in Argentina's Neuquén Basin. Trinidad and Tobago sits close behind with 20% of regional output, consolidating its position as one of the region's leading natural gas and LNG producers and exporters. Brazil ranks third with 13%, supported by gas production associated with its offshore oil fields.
A second tier comprises Peru with 11%, Venezuela with 10%, and Bolivia with 9% — all of which continue to play meaningful roles in regional gas supply. Colombia contributed 5%, while Ecuador accounted for roughly 1% of total regional output.
Gas activity outpaces oil across the region
Regional gas production showed stronger momentum than oil at the start of 2026. Latin American and Caribbean output reached 28 billion m³ in January 2026, a 27% year-on-year increase from the 22 billion m³ produced in January 2025. Compared with December 2025, regional gas output rose 22% month-on-month, reflecting a sharp acceleration of gas activity at the start of the year.
Cross-border trade also tightened. In January 2026, 59% of total regional gas imports came from other Latin American and Caribbean producers, a sign of growing interdependence in regional supply — with more than half of imported gas now sourced from within the region itself.
Crude rises 11% on Brazil, Mexico, Venezuela base
Regional crude oil production climbed 11% year-on-year in January 2026, rising from 326 million barrels in January 2025 to 361 million barrels. Month-on-month output rose 1.1% from December 2025. The three largest producers — Brazil, Mexico, and Venezuela — together accounted for 70% of regional supply.
Trade patterns diverged from gas: 56% of regional oil imports came from within the region, while the rest was sourced from extra-regional markets. On the export side, only 22% of regional crude went to neighboring countries, with the majority shipped to markets outside Latin America and the Caribbean.