Argentine President Javier Milei has vowed to impose tougher sanctions on oil companies operating around the Falkland Islands, renewing Buenos Aires’s sovereignty claim and escalating tensions with Britain.
In a televised address on Thursday, Mr Milei said companies involved in oil and gas projects in the territory would face penalties if they operated without Argentina’s authorisation, describing the islands as being “under the British occupation”.
His announcement focused on the Sea Lion offshore project, about 220 kilometres north of the Falklands. The development is being pursued by British firm Rockhopper Exploration and Israel’s Navitas Petroleum, with drilling expected to begin in the coming months and oil production planned for 2028.
Argentina’s presidential office said Mr Milei had ordered a decree to speed up the existing sanctions process and would send an urgent sovereignty bill to Congress. The proposed measures would extend penalties to shareholders, directors and suppliers linked to the projects, while potentially barring the companies from operating or securing contracts in Argentina.
Mr Milei repeated his government’s claim that the Falkland Islands, known in Argentina as the Islas Malvinas, are Argentine territory “by history and by right”. Britain has controlled the islands since 1833 and regards them as a British Overseas Territory.
He also announced additional defence funding for a naval base and improved telecommunications infrastructure in Tierra del Fuego, in southern Argentina, saying the measures would strengthen the country’s presence in the South Atlantic.
The move follows renewed international attention on the dispute after US President Donald Trump indicated that Washington could review its long-standing position on the islands’ sovereignty. Downing Street has said sovereignty rests with the UK and that the islanders’ right to self-determination is paramount.
