LATAM Energy Report
Latin America’s energy landscape is entering a new phase, shaped by the challenge of expanding reliable and competitive supply while accelerating the transition to lower-carbon systems. This report tracks oil, gas, LNG, LPG, and energy transition markets across 16 countries.
What you need to know
The essential points to understand the regulatory and market shifts shaping Latin America’s energy sector.
Latin America is strengthening its role as a global energy supplier, but progress is uneven. Brazil, Argentina, and Guyana are expanding output, while Mexico, Colombia, and Bolivia face declining oil or gas production.
Natural gas is becoming a strategic transition fuel. Growing demand and the need for supply diversification drive LNG infrastructure, while Argentina’s Vaca Muerta expands regional gas opportunities.
Distribution and infrastructure are the key regulatory priorities, followed by exploration and production, investment, commercialization, and quality measures.
Energy plans and frameworks are being updated across the region, combining renewable energy expansion with the continued role of conventional resources.
Biofuels remain a key pillar of decarbonization, with higher blending mandates in markets such as Brazil, Paraguay, and Bolivia, and progress in green hydrogen and sustainable aviation fuels.
Energy-intensive sectors such as data centers are increasing demand for reliable supply and require regulatory frameworks to evolve accordingly.
What the report maps
The report combines a regional outlook with country-level regulatory tracking.
- Sectoral outlook 2026
- Regional snapshot by country
- Regulatory landscape: oil, gas, LNG, LPG, and energy transition
- A closer look at the gas market
- Key trends and initiatives to watch
Two dynamics reshaping the region
The Middle East conflict and Latin America’s role
The escalation in early 2026 reinforced the region’s role as an alternative energy supplier, with Argentina and Brazil attracting new buyers such as India. It also put pressure on prices and subsidies, forcing governments to adopt containment measures and raising the urgency of infrastructure and integration projects.
Gas market integration
Regional gas trade nearly halved between 2013 and 2023, from 18.6 to 9.2 billion cubic meters, largely due to declining Bolivian production. LNG imports have surpassed pipeline imports since 2014, and Argentina is shifting from importer to potential regional supplier through Vaca Muerta.
Key trends across the region
Growing pressure on the traditional model of state-controlled oil and gas companies, including Pemex, Ecopetrol, and Petroperú.
Regional energy integration and security of supply, following the 2025 Mercosur Declaration on Energy Integration and Security.
Energy demand from emerging technologies such as AI and data centers, which may accelerate the rethinking of energy planning and regulation.
The El Niño phenomenon, which may reduce hydroelectric output, increase supply volatility, and put additional pressure on power grids.