The Argentinian state-owned oil and gas company YPF has announced its partnership with Southern Energy to deploy a 2.45 Mt/year FLNG vessel in Argentina. Southern Energy, a dedicated joint venture between Argentina’s Pan American Energy (PAE, 50% owned by BP) and LNG shipping group Golar LNG, is installing the FLNG Hilli Episeyo in the Gulf of San Matías, Río Negro (Argentina), which is scheduled to start exports by 2027.
In July 2024, PAE and Golar LNG had entered into a definitive agreement to deploy a 2.45 Mt/year Floating Liquefied Natural Gas (FLNG) terminal in Argentina. Under the terms of the agreement, Golar would hold a 10% stake in Southern Energy, a dedicated joint venture with PAE, in charge of the purchase of domestic natural gas, operations, and sale and marketing of LNG volumes from Argentina.
The Hilli Episeyo FLNG project aims to boost production and exports in Argentina’s Vaca Muerta, the second-biggest deposit of shale gas in the world. YPF and Pan American are the country’s top oil and gas producers.