The Evaluation Committee authorized the Los Toldos II Este initiative in Neuquén, which will produce 70,000 barrels per day and generate 3,100 direct jobs plus 4,800 indirect jobs
The government of Javier Milei greenlit a new project on Wednesday, August 19, for the Incentive Regime for Large Investments. This is the initiative from Tecpetrol, a company of the Techint Group, aimed at oil production in Vaca Muerta, specifically in the area known as Los Toldos II Este, in the province of Neuquén.
The committed investment reaches US$6.4 billion, making this authorization the largest scale among those granted so far. The Minister of Economy, Luis Toto Caputo, announced the news through his social media and highlighted the potential of the venture.
According to official details, the project aims for a daily production of 70,000 barrels of oil. In terms of employment, it is estimated to create 3,100 direct jobs and another 4,800 indirect jobs, a significant impact for the Neuquén region and for the value chain associated with hydrocarbon activity.
Caputo emphasized that the RIGI will not only accelerate the pace of development but will also allow for an approximately 40% increase in the resources to be developed in the area. “The RIGI will not only accelerate the pace of development but will also allow for an approximately 40% increase in the resources to be developed in the area,” stressed the best Minister of Economy.
Comparisons with other authorized projects
While there are precedents of larger volume, such as the RIGI from the Southern Energy group led by PAE, which exceeds US$15 billion, or initiatives from YPF close to US$51 billion, Tecpetrol's project stands out as the largest effectively authorized so far.
In parallel, the same Evaluation Committee approved two other relevant ventures. Pampa Energía received approval to proceed with the Rincón de Aranda project, with a planned investment of US$4.521 billion. Additionally, the Vaca Muerta Sur pipeline, known as VMOS, was authorized, which will require an outlay of US$2.9 billion to transport crude oil from the Neuquén basin to the shores of Río Negro.
These advances are framed within a context of strong demand for access to the regime. According to the numbers shared by Caputo, the government has already received 43 projects interested in the RIGI, totaling US$148.229 billion. Of that universe, 23 have already been approved and concentrate investment promises of US$49.766 billion.
The minister anticipated that this proportion will change soon. “This is only from the RIGIs we have approved, which are one-third of the total. Soon you will find out that they are one-fourth because some other RIGIs for up to US$50 billion will come,” he noted last week during his visit to the Córdoba Stock Exchange.
