Vaca Muerta

Natural gas production in Argentina fell by 12.2% year/year in July to 126.8 million cubic meters/day (MMm3/d), or 4.47 Bcf/d, according to the latest report by the IAE Argentine Energy Institute.

Production was essentially flat compared to June. 

Analysts attributed the drop to restrictions in place because of the coronavirus pandemic. Argentina has had one of the strictest lockdowns in place globally since the pandemic began to spread in March. 

In April, Argentina had zero rigs running, but upstream activity has picked up slowly since then.

Power demand on Argentina’s national grid held up and rose slightly year/year to 392.9 GWh/d in July compared to 387.2 GWh/d in July 2019, driven by a 13.7% rise in residential demand.