Latin America and the Caribbean (LAC) increased both its oil and natural gas production in March of this year, just as tensions in the Middle East are generating greater uncertainty over global hydrocarbon supply and instability in international markets.
According to the monthly report issued by the Latin American and Caribbean Energy Organization (OLACDE), production capacity and intraregional trade are becoming crucial factors in securing energy for the region amid a volatile international environment.
Oil: 9% Growth Driven by Brazil and Mexico
Regional oil production reached 324 million barrels (Mbbl), a 9% increase compared to March 2025 and a 1.3% increase compared to February of the same year.
Brazil, Mexico, and Venezuela together accounted for 69% of total production:
• Brazil: 41% (Leading producer)
• Mexico: 17%
• Venezuela: 11%
• Other key contributors: Guyana (9%), Argentina (8%), Colombia (7%), and Ecuador (5%).
On the trade side, 53% of LAC’s total oil imports came from intraregional trade. In contrast, only 12% of the total export value went to other Latin American and Caribbean countries, with most exports heading to markets outside the region.
Natural Gas: Progress Amid Global Uncertainty
Regional natural gas production reached 22 billion m³ in March, showing 5% year-over-year growth and a similar increase compared to February. This growth is especially significant given attacks on energy infrastructure and geopolitical tensions in key areas such as the Strait of Hormuz.
The breakdown of gas production is as follows:
• Argentina: 23% (Leading the push thanks to Vaca Muerta’s unconventional resources)
• Trinidad and Tobago: 21%
• Brazil: 15%
• Bolivia and Mexico: 10% each
• Other producers: Venezuela (9%), Peru (7%), Colombia (5%), and Ecuador (1%).
In this sector, interdependence is even more pronounced: 49% of the total value of imported gas came directly from producers within Latin America and the Caribbean, reducing external dependence and strengthening local supply security.
The Integration Challenge
The results show that the regional challenge goes beyond increasing production; it involves improving infrastructure, fostering trade exchanges, and driving effective integration that connects available resources with the markets that need this supply.
To view the detailed data from OLACDE’s monthly report, visit: https://www.olacde.org/publicaciones/reporte-pg-3-esp/
