Libertarian Javier Milei swept to victory in Argentina’s presidential elections last month promising drastic change and a radically new way of doing business in the country.

The 53-year-old outsider has since vowed to privatize state oil and natural gas firm YPF SA. “Everything that can be placed into the hands of the private sector, will be in the hands of the private sector,” he said.

He also tapped Vaca Muerta veteran Horacio Marín to head the national oil company. Vaca Muerta is one of the largest shale oil and natural gas plays in the world.

Wood Mackenzie analyst Adrian Lara said that Milei and his advisors “are signaling the importance the oil and gas sector has in their plans for the overall Argentinian economy, however, their success in deregulating the sector...