- Chevron confirmed that Vaca Muerta shale production will rise to 30,000 barrels per day by the end of 2025.
- Argentina’s stability, regulatory reforms, and oil price resilience remain vital for unlocking the shale formation’s full potential.
Vaca Muerta shale production is central to Chevron’s strategy in Argentina. The company plans to increase output to 30,000 barrels per day by the end of 2025. Current production stands at 25,000 barrels per day. Ana Moneto, Chevron’s Argentina country manager, confirmed the target during the Argentina Oil & Gas conference in Buenos Aires.
As one of the world’s largest shale formations, Vaca Muerta holds enormous potential. Yet Argentina must first create a stable and attractive investment climate. Moneto stressed that predictable regulation, respect for investments, competitive costs, and free market policies are vital for long-term growth.
Chevron sees the shale play as a core asset in its portfolio. Javier La Rosa, now president of Base Assets and Emerging Countries, explained that Argentina offers a strong unconventional resource base that can be scaled quickly into a central asset. This statement reinforced Chevron’s long-term commitment to the region.
Still, challenges remain. The shale sector is vulnerable to oil price swings, which have slowed drilling activity. Several foreign operators scaled back, while Argentina’s largest producer, YPF, withdrew frac crews. Both moves followed weaker market conditions and recent mergers and acquisitions.
On the other hand, Argentina is working to monetise both oil and gas resources from Vaca Muerta. Rystad Energy reported strong performance in the first quarter of 2025 with oil output reaching 26% year-on-year, while gas production rose by 16%.
YPF reinforced confidence in the formation. The company said Vaca Muerta remains viable even at $45 per barrel. This resilience highlights the enduring potential of Vaca Muerta shale production, despite short-term market pressures.