MercoPress. South Atlantic News Agency

Milei announces sanctions against oil firms operating off the Falklands without Argentine approval

Milei said he would sign a decree that same night to “speed up the sanctions procedures” against those involved in oil extraction in what he called “Argentine territory under British occupation”

Argentine President Javier Milei announced on Thursday, in a televised national address, sanctions against companies taking part in hydrocarbon development off the Falklands without Argentine authorization, along with the construction of a naval base in Tierra del Fuego, at the country's southern tip. The message, recorded at the Casa Rosada alongside his full cabinet, raised tensions with the United Kingdom at a moment when Washington has cast doubt on its traditional neutrality in the dispute.

Milei said he would sign a decree that same night to “speed up the sanctions procedures imposed by Law 26,659” against those involved in oil extraction in what he called “Argentine territory under British occupation.” The law, in force since 2011, already provides for restrictions; the decree extends its reach to shareholders, directors and suppliers of those companies, which would be barred from operating on Argentine soil.

“Those who operate in our islands behind the Argentine government's back will have to choose between an illegal gamble in a disputed territory and a profitable, secure operation in a sovereign country with clear rules and predictability. They cannot do both,” the president said.

The announcement targets the Sea Lion project, in the North Falkland Basin, some 220 kilometers (about 135 miles) north of the archipelago. Britain's Rockhopper Exploration and Israel's Navitas Petroleum took the final investment decision for the first phase of the development in December 2025. Reserves at the field are estimated at 1.7 billion barrels. “If we do not act, within a few months they will have the material capacity to seize the oil reserves that lie beneath our sea,” Milei said.

The president also announced an increase in the Defense Ministry budget to build an integrated naval base in Tierra del Fuego and strengthen telecommunications capabilities, with the aim of turning Argentina into “a central logistics hub of the South Atlantic” and reinforcing its projection toward Antarctica. He will additionally send Congress a national sovereignty defense bill providing for the creation of a National Security Council.

The address followed remarks by US President Donald Trump casting doubt on his country's backing for the United Kingdom. Asked by British broadcaster GB News whether Washington would come to London's aid in a possible conflict, Trump replied that the UK “was not there to help me” — a reference to Britain's refusal to join US operations against Iran — and added that the archipelago is “a long way away, that's a big trip.” He made no commitment either way. Days earlier he had said he was reviewing “every position, that's just one of many.”

Milei drew on those signals to argue that “winds of change” now favor the Argentine claim, describing the United Kingdom as a country in decline. “The United States is weighing that change of position because they know that in Argentina they have a reliable partner,” he said.

#CadenaNacional:
Porque Javier Milei anunció la construcción de una base naval en Tierra del Fuego y medidas para endurecer las sanciones a empresas que operen sin autorización en las Islas Malvinas pic.twitter.com/12qALPWrls

— ¿Por qué es tendencia? (@porquetendencia) September 4, 2026

The president further maintained that the islanders “have no legitimate right to self-determination.” In a referendum held in 2013, residents voted 99.8% in favor of remaining a British Overseas Territory, with three votes against, in a poll monitored by observers from six countries.

Britain's Foreign Office reiterated this week that its position is “long-standing and unwavering” and that the Falklands “are and will remain a British Overseas Territory,” in line with the wishes of the islanders, whose right to self-determination it called “paramount.” The government of Prime Minister Andy Burnham had not responded to the address at the time of publication.

Former Falkland Islands Legislative Assembly member Teslyn Barkman told the BBC from Stanley that the message had “probably irked every single Falkland islander,” adding that the archipelago “will remain forever British.”

Argentina landed on the islands in April 1982, triggering a 74-day war that ended with Britain retaking the archipelago and left 649 Argentine military personnel, 255 British service members and three islanders dead. The issue returned to prominence in July, when Argentine players displayed a banner reading “Las Malvinas son argentinas” after beating England 2-1 in the World Cup semifinal in Atlanta, a gesture FIFA investigated. Milei closed his message with a call for unity: “We can argue about anything else, but this matter demands that we set our weapons aside.”