Argentina's oil sector had the best first quarter in 15 years.

Driven by the constant advancement of Vaca Muerta, the Argentine oil sector achieved its highest production level for a first quarter since 2009 between January and March 2025, according to the oldest records available with the current measurement system.

According to data released by the Government of Javier Milei, through the Secretariat of Energy, during that period 10,684,722 cubic meters of crude were extracted, representing a 9.8% increase compared to the first three months of 2024. This growth is mainly explained by the strong performance of shale oil in the province of Neuquén, which accounted for 60% of the country's total production.

The unconventional formation continues to position itself as the main driver of the Argentine energy sector. In March, Neuquén reached a new monthly record for that month with a production of 2,258,737 m³ of oil, 20.7% more than in the same period of the previous year. Companies like YPF, Vista, Shell, and Pan American Energy led this growth with constant investments in high-efficiency wells.

The increase in production at Vaca Muerta not only raised national volumes but also helped offset the natural decline of more mature basins like the Golfo San Jorge. In these regions, production has remained stable or with slight declines, reinforcing the strategic role of the Neuquén field in the country's energy balance.

Meanwhile, while Vaca Muerta reaches record figures, most oil-producing provinces face serious difficulties in maintaining their extraction levels, in a scenario marked by the loss of pressure in mature wells. The gap between regions is becoming increasingly noticeable. In contrast, Neuquén closed the first quarter of the year with a historic milestone: for the first time, it surpassed 6 million cubic meters in a quarter and recorded a year-on-year increase of 20.87%.

This difference shows that while Vaca Muerta consolidates its leadership thanks to the incorporation of new technologies and a sustained flow of investments, other traditional basins show signs of stagnation, becoming increasingly relegated on the national oil map.