Photo courtesy of Anadolu
Argentina moved to tighten restrictions on companies involved in oil development around the British-administered Falkland Islands, escalating its long-running sovereignty dispute with the United Kingdom.
President Javier Milei said Thursday that his government considered hydrocarbon extraction around the islands, known in Argentina as the Malvinas, unauthorized and a threat to the country’s strategic interests.
At the center of the latest dispute was the Sea Lion project in the North Falkland Basin, being developed by Rockhopper Exploration and Navitas Petroleum. Milei argued that allowing commercial production to advance would reinforce British control over resources claimed by Argentina.
The president signed an executive decree designed to speed up sanctions against businesses participating in hydrocarbon activities in waters Buenos Aires considers part of its continental shelf. The restrictions could also affect shareholders, company directors and suppliers connected to the operations.
Milei said his administration would separately ask Congress to strengthen existing restrictions. The proposed legislation would extend penalties to contractors and service providers and could prevent sanctioned entities from securing public or private contracts in Argentina.
The measures mark a tougher economic approach to a territorial dispute that has persisted for generations. Argentina claims sovereignty over the islands, while Britain maintains control and says their political status should reflect the wishes of the islanders.
Milei also pointed to what he described as possible changes in Washington’s approach to the dispute, citing remarks he attributed to US President Donald Trump. He presented Argentina’s relationship with the United States as potentially important to Buenos Aires’ diplomatic position.
The Argentine leader called for domestic political unity over the issue, arguing that control of offshore resources and the country’s territorial claim should transcend partisan divisions.