Milei Bets on Vaca Muerta Oil Boom to Underwrite Economic Overhaul

Argentine President Javier Milei is pinning the success of his libertarian economic overhaul on a rapid expansion of oil production from the Vaca Muerta shale play in Patagonia. The formation holds light crude that is comparatively cheap to extract, and recent reductions in regulatory hurdles have begun to accelerate development. Government officials and industry executives say a sustained output surge could deliver the foreign currency and fiscal revenues Milei needs to stabilise the economy, preserve political backing for deep spending cuts and lure further investment. The administration is aiming to show tangible results from the shale push before the 2027 elections, when Milei will seek a renewed mandate.