Chevron currently produces about 74,000 barrels per day from its Loma Campana joint venture in the Vaca Muerta basin, which overall yields nearly 600,000 barrels daily. Executives say the basin’s scale and quality could support a threefold increase in Chevron’s own output by 2035, pending stable conditions.

Reforms introduced under President Javier Milei have bolstered investor confidence by improving regulatory clarity and offering greater protection against capital controls. Chevron cautions that Argentina’s history of policy swings makes sustained economic stability vital for securing the long-term funding needed for ramping up shale operations.

Chevron is assessing two relatively undeveloped blocks, Trapial and Narambuena, under Argentina’s RIGI investment program, which provides tax breaks and safeguards against future capital controls. The company believes these incentives could help narrow a roughly 35% cost disadvantage compared with its Permian Basin activities, enhancing the project’s economic viability.