The oil company Pan American Energy (PAE) has requested that its multi-million-dollar project to export liquefied natural gas (LNG), developed in partnership with the multinational Golar LNG, be included in the recently launched Incentive Regime for Large Investments (RIGI).
Southern Energy, a joint venture between Pan American Energy and Golar LNG, submitted the request to adhere to the RIGI. The company plans to invest $2.9 billion in the project.
According to a statement from PAE, the plan includes the installation of a natural gas liquefaction vessel off the coast of the southern Argentine province of Río Negro. The company described the project as "a significant milestone to position Argentina as an exporter in the global LNG market starting in 2027."
The statement noted that the plan meets the conditions of a "long-term strategic export project" that the RIGI seeks to promote.
The project anticipates an investment of approximately $1.65 billion during the first phase (2025-2031), while the second phase (2032-2035) will require an additional $1.25 billion.
"In this way, the investment across both phases is projected to total around $2.9 billion. Over the 20-year lifespan of the project, the total investment is estimated at nearly $7 billion," PAE emphasized.
According to the company, the project is expected to create around 600 direct and indirect jobs during the construction phase and approximately 850 direct and indirect jobs during the operational phase.
PAE and Golar LNG stated that, through Southern Energy, they are in negotiations with gas production companies to encourage their participation in the strategic partnership.
YPF is leading a separate project to transport natural gas from the Vaca Muerta formation to Río Negro, build a liquefaction plant, and export LNG. That initiative involves an estimated investment of $30 billion.
