Argentina’s president has heightened tensions with the UK over the Falkland Islands, warning he will impose economic sanctions on firms which exploit oil close to the British overseas territory.
In a national address, Javier Milei said the "winds of change" favoured Argentina's claim to the islands, emboldened by signs the US might reconsider its stance of neutrality on the issue.
Milei said the Sea Lion oilfield, where a British and an Israeli firm are due to begin exploration work, was a "clear and present danger".
In a statement on Friday, Downing Street said it was "clear that the Falkland Islanders' right of self-determination extends to the right to exploit their own natural resources".
The Sea Lion field, estimated to contain 1.7 billion barrels of oil, sits about 130 miles from the Falkland Islands, much closer than the 300‑million‑barrel Rosebank field in the North Sea.
Two oil companies – Britain's Rockhopper Exploration and Israel's Navitas Petroleum – are set to start drilling within two years, a move Milei said Argentina could not allow. Rockhopper has praised the field as containing "highly marketable crude".
The protest sparked reactions from Falkland Islanders who pointed out the 2013 referendum where 99.8 % voted to remain a British Overseas Territory, with only three votes against.
Milei’s threat comes as his popularity drops to around 34 %, with a presidential election looming in less than a year. In addition, he hinted at a naval base in Tierra del Fuego that could further strain UK‑Argentina relations.
Downing Street reiterated that the islands would remain a British Overseas Territory "for as long as the Islanders wish", asserting the UK’s commitment remains "absolute and unshakeable".
Milei cited possible US shift in policy, referencing former President Trump’s comments and a US State Department official’s photo with Milei. He mentioned that "winds of change in the world that are favourable to our claim" are at play.
The conflict dates to the 1982 war when Argentine forces landed on the Falklands, leading to a 74‑day conflict that ended with the withdrawal of Argentine troops. The war resulted in 255 British casualties, 3 islanders, and 649 Argentine losses.
Argentina’s stance underscores a broader geopolitical push to reinforce its claim amid shifting international alliances and domestic pressures on President Milei as elections approach.
