The Dual Impact of Fracking on Añelo: A Town Transformed

Thu Dec 04 2025 22:40:15 GMT+0200 (Eastern European Standard Time)

Fracking has dramatically changed the landscape and economy of Añelo, Argentina, boosting its population and economic activity. However, the broader implications for the nation remain complex, balancing energy independence with environmental concerns.

Añelo, a small town in Argentina, has experienced significant transformation due to fracking in the Vaca Muerta region. The increase in economic activity has resulted in a population surge and infrastructure boom. Nevertheless, challenges such as environmental concerns, economic volatility, and logistical issues persist, raising questions about the long-term benefits of this energy wealth for the broader Argentine economy.

Mechanic Fabio Javier Jiménez found himself in the right place at the right time. When his father moved their family-owned tyre repair shop to the rural Argentine town of Añelo, it was a small, sleepy place, some 1,000km (600 miles) southwest of Buenos Aires. There was no mains water or gas, and the electricity supply was constantly being cut off.

Then in 2014, fracking for oil and gas started in the surrounding region, and the conurbation boomed. We set up the tyre repair shop in the middle of the sand dunes, far from the town centre, says Mr Jiménez. Then the town grew and passed us by.

Fueled by its newfound energy wealth, Añelo's population soared from 10,788 in 2010 to 17,893 in 2022, an increase of more than 60%. In addition, Añelo sees some 15,000 workers enter the town each weekday. This has made the roads very busy, with lots of oil tankers going through.

Last year, 24,956 vehicles entered the town every day, of which 6,400 were lorries. Añelo is located in the heart of Vaca Muerta, a 30,000 sq km (12,000 sq mi) oil and gas-rich geological formation. It was first discovered as far back as 1931, but it wasn't until fracking became legal in Argentina in 2014 that the deposits could be commercially accessed.

Fracking is a method of mining that first became widespread in the US in the early 2000s, allowing for the extraction of gas and oil trapped inside the rock. The first fracking operation in Vaca Muerta was a joint effort between Argentina's state oil firm YPF and US giant Chevron.

By February 2023, there were 3,358 wells in active production in Vaca Muerta, which accounts for more than half of Argentina's oil and gas production.

The oil and gas from Vaca Muerta has given Argentina energy self-sufficiency and allowed the country to export oil and gas, helping to earn foreign currency. However, experts caution that while this development helps, it may not solve underlying economic issues, such as inflation and debt defaults.

Moreover, concerns have been raised regarding insufficient infrastructure and environmental impacts. Critics warn that the local and national government's pro-fracking consensus hinders public discourse on these issues. At Jiménez's garage, where he has doubled his business, skepticism remains about whether oil and gas exploitation will ultimately resolve Argentina's ongoing economic challenges.