Argentina's Formal Protest
Argentina's Foreign Ministry, led by Pablo Quirno, presented a formal protest note to the United Kingdom's Embassy in Buenos Aires on Tuesday. The note rejects the extension of offshore hydrocarbon production licenses in the Falkland Islands and the approval of Navitas Petroleum Atlantic Limited's acquisition of a 65% stake in the PL001 block. The ministry stated that exploration and exploitation in the area are contrary to international law and violate Argentine sovereignty, and that any hydrocarbon activity on the Argentine Continental Shelf without national authorization constitutes an illicit act under Argentine law and international law.[S1][S2][S3][S4][S5]
The ministry cited UN General Assembly Resolution 31/49, which urges both countries to refrain from unilateral modifications while the sovereignty dispute remains unresolved, as well as Resolution 2065 (XX) and later resolutions of the Special Committee on Decolonization. It also referenced Argentine laws 26.659 and 26.915 and Decree 868/2026, warning that individuals or companies involved directly or indirectly in these operations may face administrative, civil, and criminal sanctions. The government reiterated its willingness to engage in constructive and substantive dialogue with the UK to resume bilateral negotiations over the Falklands, South Georgia, South Sandwich Islands, and surrounding maritime spaces.[S2][S3][S4]
UK-Backed Licensing Decision
The protest followed the Falkland Islands government's announcement on Monday to extend all existing offshore hydrocarbon production licenses for an initial five years, with an option for two additional years at the discretion of the islands' authorities, subject to satisfactory progress by licensees on their work programs. The statement said the decision has the full support of the UK government. Cheryl Roberts, a member of the Legislative Assembly responsible for Trade, Industry, and Mineral Resources, defended the move, saying it provides security to operators to continue investing and developing their assigned areas, and described the resources as theirs to develop responsibly.[S1][S2][S4][S5]
The extension covers companies including Rockhopper Exploration and its subsidiaries Falkland Oil & Gas and Desire Petroleum, as well as Navitas Petroleum Development and Production. The most advanced project is Sea Lion, located about 220 kilometers north of the archipelago, operated by Navitas Petroleum alongside Rockhopper Exploration. Both companies took a final investment decision in December 2025 and plan to begin crude extraction in March 2028. The islands' authorities estimate the project will generate USD 2 billion in royalties over 30 years. Additionally, the government approved Navitas Petroleum Atlantic Limited's acquisition of a 65% stake in the PL001 block, adjacent to Sea Lion, following an agreement signed in February with JHI Associates.[S2][S4][S5]
Diplomatic Context
The protest was made public just hours after Argentine President Javier Milei met with US President Donald Trump in New York during the Shield of the Americas meeting. Trump emphasized close relations with Milei and the recently inaugurated leaders of Colombia and Peru, Abelardo de la Espriella and Keiko Fujimori. Milei said that in this world a country's security extends to its neighbors and immediate allies, and that Argentina wants a proactive role in guaranteeing not only Argentine security but also hemispheric security. On the same day, Trump met with UK Prime Minister Andy Burnham, and both sides only said they discussed the Falklands issue without specifying which aspect.[S1]
