Sea Lion projects oil production off the Falkland Islands starting in 2028

The Sea Lion oil project, located approximately 220 kilometers north of the Falkland Islands, has become a focal point of Argentina's political agenda following President Javier Milei's warnings about potential operations without the country's authorization. The Government announced a hardening of sanctions provided for in Law 26.659 on Hydrocarbons.

The regulation establishes that petroleum activities on the Argentine Continental Shelf require express authorization from the National Energy Secretariat. The field was discovered in 2010 by British company Rockhopper Exploration and is currently controlled 65% by Israeli firm Navitas Petroleum, while Rockhopper maintains the remaining 35%.

Sea Lion is located in the Falkland Islands North Basin and concentrates estimated recoverable resources of more than 500 million barrels. The total potential of that basin could exceed 1,000 million barrels of medium-quality crude.

The design contemplates an entirely offshore operation, without permanent logistics facilities onshore. Production would be processed and stored on an FPSO vessel, from which oil would be transferred to tanker ships for subsequent commercialization.

The first phase envisages subsea drilling and initial production of between 50,000 and 55,000 barrels per day. The start of extraction, referred to as "first oil," is scheduled for March 2028. The initial disbursement would be around USD 1.8 billion, while cumulative investment over an estimated useful life of between 30 and 35 years would exceed USD 3.9 billion.

Navitas joined the project in 2020 and two years later assumed operations and majority stake following Harbour Energy's exit. The Israeli firm participates through its British subsidiary and provides financing to reactivate the development, while Rockhopper retains its stake and connection to the original discovery.

With information from Energía Online.