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Argentina files legal claim to halt UK-backed Falkland oil exploration

Argentina sues the UK to stop the Sea Lion oil field near the Falkland Islands, raising tensions over sovereignty and resource rights.

Source: bbc.co.uk2 min read
Falkland Islands oil exploration
Falkland Islands oil exploration

In brief

Buenos Aires has lodged a claim at the International Tribunal for the Law of the Sea to block the UK‑backed Sea Lion oil field, a joint venture with Israeli and British companies. The move follows President Javier Milei’s threats of sanctions and calls for an end to oil activity near the islands. UK officials say the field lies on the Falklands’ continental shelf and is licensed by the island government. The dispute underscores the long‑standing sovereignty claim Argentina holds over the Falkland Islands, known locally as Las Malvinas. Both sides now face a legal battle that could impact the soon‑to‑begin production of the 1.7 billion‑barrel reserve.

The Argentine government has filed a legal claim to stop the new Sea Lion oil and gas field, located north of the Falkland Islands, in what could be a notable escalation with the UK.

In a statement, Buenos Aires said the request lodged with the International Tribunal for the Law of the Sea aimed to block activity that it says the UK authorised "illegally."

The claim follows President Javier Milei’s demand last month that the Sea Lion project be cancelled, a joint venture between Israeli and British firms that could begin pumping in 2028.

UK Foreign Office minister Uma Kumaran blasted what she called an "escalating campaign" by Argentina and announced new protections for companies operating in the disputed waters.

The dispute deepens the long‑standing friction over sovereignty, with the Falklands—known in Argentina as Las Malvinas—at the heart of a 1982 war that still colors diplomatic relations.

Earlier this month Milei threatened sanctions on firms exploring oil near the islands, a move the UK government calls economic coercion against the Falkland people.

Kumaran said the tribunal application "does not invalidate licenses issued by the Falkland Islands government, nor does it require any lawful hydrocarbon development to cease."

The Sea Lion field, about 130 miles from the islands, is estimated to contain 1.7 billion barrels of oil and could provide substantial revenue for the roughly 3,500 inhabitants.

British company Rockhopper Exploration and Israeli firm Navitas Petroleum insist their licences are valid and issued by the UK, which controls the legal regime for the islands.

The tribunal that will hear the dispute is based in Hamburg and is tasked with the fair application of the UN Convention on the Law of the Sea. The UK says it will respond to the claim firmly but will not seek to further inflame the dispute and will offer reassurance to investors under the Protection of Trading Interests Act.

Foreign Secretary Ed Miliband warned that Argentina’s attempts to intimidate legitimate business activities were unacceptable. The UK stands by the Sea Lion field as lawful exploration on the islands' own shelf.

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