Harold Hamm's Continental Resources has expanded its push into Argentina's Vaca Muerta shale basin by agreeing to acquire non-operating interests in four blocks from Pan American Energy (PAE). While terms of the deal were not disclosed, this move follows Continental's earlier acquisition of a 90% stake in the Los Toldos II Oeste block from Pluspetrol in November. Continental Resources, now the largest privately held oil and gas producer in the world with approximately 500,000 barrels of oil equivalent per day in 2025, sees Vaca Muerta as "one of the most compelling shale plays in the world," according to CEO Doug Lawler.
Under the agreement, Continental obtains a 20% stake in the Coirón Amargo Sureste, Bandurria Centro, and Aguada Cánepa blocks in Neuquén province, and the Loma Guadalosa block in Río Negro province. The deal is contingent on approval from the respective provinces. This strategic partnership is expected to accelerate development in these areas, with Continental contributing its expertise in de-risking, development, and operational efficiency to unlock Argentina's unconventional resources. PAE's CEO, Marcos Bulgheroni, highlighted the benefit of Continental's know-how as a non-operating owner.
Production data from October 2025, sourced from Argentina's oil and gas institute IAPG, indicates the current output from the acquired blocks. Coirón Amargo Sureste is the highest producer among them, with 11,648 barrels per day of oil and 103,000 cubic meters per day of gas. Bandurria Centro produced 186 cubic meters per day of oil and 44,000 cubic meters per day of gas, while Aguada Cánepa yielded 807 cubic meters per day of oil and 38,000 cubic meters per day of gas. Loma Guadalosa had minimal production with 4 cubic meters per day of oil and no gas, and Los Toldos II Oeste had no production. PAE's total shale oil output in Vaca Muerta reached 36,971 barrels per day in November, and the company is Argentina's second-largest oil producer with a 13.1% market share.
The expansion into Vaca Muerta is a significant development for Argentina, particularly under President Javier Milei's efforts to ease regulations and attract foreign investment. Vaca Muerta, characterized by brittle rock and a composition similar to the Permian Basin, is ideal for hydraulic fracturing and has seen production rise to nearly 600,000 barrels per day, accounting for two-thirds of Argentina's crude output. Projections suggest production could reach 1 million barrels of oil per day by 2030, moving Argentina towards energy self-sufficiency and potential LNG exports. Pan American Energy is 50% owned by BP Plc.
