Industry leaders see Vaca Muerta as model for regional energy development

(WO) — Industry leaders at the ARPEL Conference 2026 said Latin America has the resources to become a major global energy supplier, but infrastructure development, regulatory stability and regional cooperation will be essential to unlocking that potential.

Speaking during separate oil and natural gas executive panels, company leaders agreed that the region's challenge is no longer resource availability but creating the conditions necessary to convert those resources into reliable long-term energy supply.

A key theme throughout the discussions was the emergence of Argentina's Vaca Muerta shale play as a potential model for broader energy development across the region.

Panelists said the expertise developed in Vaca Muerta could be applied in other countries, including Mexico and Colombia, provided governments establish stable regulatory frameworks, support investment and maintain alignment between the public and private sectors.

Oil sector executives including representatives from ENAP, ANCAP, Oldelval, GeoPark and Quintana Energy said the industry is entering a period of significant opportunity, but warned that competitiveness, infrastructure investment and regulatory certainty remain critical priorities.

Natural gas executives echoed those concerns, noting that Latin America possesses abundant gas resources but must continue expanding infrastructure and strengthening domestic markets to transform those resources into reliable supply.

The executives also emphasized the growing importance of energy security amid ongoing geopolitical uncertainty and rising global demand. They said natural gas will remain a key component of the region's energy mix, while public-private cooperation and stable investment conditions will be necessary to support future development.

Several speakers highlighted opportunities for greater regional integration, arguing that cooperation among Latin American countries will be essential if the region is to compete more effectively in global energy markets.

A recurring theme across multiple sessions was that the global energy system is evolving through what one panelist described as an "energy addition" rather than an energy transition, with oil, natural gas and emerging energy sources expected to coexist for decades to come.