The Vaca Muerta formation, one of the largest shale reserves in the world, has become Argentina's main hope for consolidating a positive energy trade balance.

Vista, Argentina's second-largest unconventional hydrocarbons operator, plans to reach production of 100,000 barrels of oil equivalent per day (boe/d) in 2025, a target originally set for 2026, its chief executive said Thursday.

The company led by Miguel Galuccio will invest between US$1.1 and US$1.3 billion in 2025 to reach that production with the connection of 60 new wells, and will announce a new long-term strategic plan next year.

"Based on the new objectives, a new long-term plan is being drawn up and will be presented next year," the company said in a statement.

The Vaca Muerta formation, one of the largest shale reserves in the world, has become Argentina's main hope for consolidating a positive energy trade balance, after years of registering a significant deficit, and obtaining the foreign currency that its economy so badly needs.

Presenting the company's third quarter results, Galuccio reported that Vista is on track to achieve average production of 85,000 boe/d in the fourth quarter of the year, 50% more than in the same period last year, thanks to increased activity at Vaca Muerta.

Additionally, Vista has secured crude oil transportation capacity of 124,000 barrels of oil per day (bbl/d) by the end of 2025.

In the third quarter, the company's oil production increased 53% year-over-year to 63,499 bbl/d. The company exported 3.5 million barrels of crude oil during the third quarter, 57% more than in the same period last year, while the cost of extraction fell 2% in the period to US$4.7 per barrel.

In an interview with Reuters in September, Galuccio said Vista would invest in more wells and infrastructure to increase transport capacity from Vaca Muerta in Neuquen province, southwest of Buenos Aires.