MercoPress. South Atlantic News Agency

Chile's ENAP to get oil supply from Vaca Muerta through Trans-Andean pipeline

Any crude not processed by Chilean refineries can be re-exported via Enap's Pacific Ocean facilities

Chile's State-owned oil company, Empresa Nacional del Petróleo (Enap), has finalized a colossal import deal worth US$12 billion with major Argentine energy producers, securing a critical long-term supply from the Vaca Muerta unconventional field.

The massive agreement with YPF, Vista Energy, Shell Argentina, and Equinor is set to run from January 2026 to June 2033. The contracts mandate the daily export of over 75,000 barrels of oil, which will fulfill approximately 35% of Enap's annual crude requirements.

A cornerstone of the agreement is the use of the recently reactivated Oleoducto Trasandino (Otasa). After remaining dormant for 17 years, this crucial pipeline now ensures a continuous and stable supply connection between Argentina's Neuquén province and Enap’s facilities in Chile.

The shift to pipeline transport offers significant strategic benefits for Chile, according to the company. ”This is a highly relevant milestone... The result of this agreement contributes to improving Enap's competitiveness and allows our country to have greater energy security,” Enap CEO Julio Friedmann pointed out.

Friedmann noted that pipeline transfer reduces transit times and associated financial costs, while maintaining Enap's maritime import capacity offers necessary flexibility against potential supply disruptions.

The US$12 billion value marks the largest commercial agreement in Enap's history, adding an estimated US$1.5 billion annually to the bilateral trade between Chile and Argentina.

In addition to enhancing energy stability, the deal provides environmental advantages since Vaca Muerta crude has a lower sulfur content compared to other sources. Additionally, any surplus crude not processed by Chilean refineries can be re-exported via Enap's San Vicente Maritime Terminal in Talcahuano, effectively establishing the terminal as a new Pacific export hub for Vaca Muerta oil.