Shale gas drilling in the Vaca Muerta
Latin America’s evolving crude outlook
New supply from Argentina, Brazil and Guyana is rich in middle distillates, but optimism in terms of volume growth remains tempered by regulatory and technical risks as well as price volatility
Latin America as a region is home to the second-largest hydrocarbon resources in the world after the Middle East, but factors such as resource nationalism, economic uncertainty and underinvestment have led to slower increases in oil production than in other regions. Yet Argentina, Brazil and Guyana are showing some glimmers of hope. In contrast, Mexican output is continuing to slide. Venezuelan production is likely to depend on US sanctions, while Ecuador’s output drop could be temporarily halted if foreign investment commitments materialise. Most of the new supply from the region is middle distillate-rich, while fuel oil-rich shipments are showing a declining trend. Brazil’s National Petrol
Also in this section
1 April 2026
Golden Pass’s startup offers QatarEnergy a timely boost but may also force a difficult choice between honouring disrupted contracts and capitalising on soaring spot LNG prices
1 April 2026
It is not a case of if or when, but the length and magnitude of economic damage from elevated oil prices
1 April 2026
The US-Iran conflict demonstrates the need for diversification in several senses of the word. It also exposes the limits of Washington applying pressure on major oil and gas producers it considers geopolitical adversaries
31 March 2026
Disappointing results in its bidding round are a reality check for Libya, and global exploration generally
