Argentina has entered negotiations with Bolivia and Chile to secure short-term natural gas imports as an intense summer heat wave drives up energy demand. The talks, previously undisclosed, highlight Buenos Aires’ struggle to balance surging domestic consumption with its broader goal of achieving energy self-sufficiency.
Armin Dorgathen Tapia, president of Bolivia’s state energy firm YPFB, confirmed ongoing discussions to establish a short-term “spot contract” with Argentina. This potential deal, lasting six to twelve months, could help meet immediate energy needs. Meanwhile, Chile’s energy ministry revealed plans to supply up to 2.5 million cubic meters of natural gas daily to Argentina’s northern regions through September under a separate agreement.
Bolivia halted gas exports to Argentina last September after nearly two decades, as Argentina increased production from the Vaca Muerta shale formation, aiming to transition into a net energy exporter. However, Bolivia’s declining gas production and Argentina’s outstanding $10.6 million debt for previous supplies complicate negotiations. YPFB expressed caution, with Tapia stating, “It is difficult for us to have the confidence to send gas to Argentina, knowing they may not pay.”
While Argentina’s state energy firm Enarsa denied any unresolved debt, it acknowledged an ongoing discrepancy over gas volumes delivered under the expired contract. Talks to resolve this issue are scheduled for next week.
Despite the challenges, Bolivia has proposed flexible solutions, including reallocating unused commitments from other clients or even selling electricity to Argentina. Tapia assured that “there are solutions” to address the immediate crisis.
Argentina is also exploring longer-term energy strategies. With significant investments in pipelines and plans for liquefied natural gas (LNG) terminals, the country hopes to strengthen its role as a regional energy leader. For now, however, the summer heat wave underscores the urgent need to address short-term supply constraints.
