RismadarVoice Reporters
September 4, 2026
Argentine President Javier Milei’s move to impose sanctions on companies involved in offshore oil exploration around the British-controlled Falkland Islands has placed several Israeli investors at the centre of a long-running sovereignty dispute between Argentina and Britain.
Milei announced measures targeting companies involved in the Sea Lion offshore oil project, warning that penalties could extend to shareholders, directors and suppliers linked to the operations.
The move comes despite Milei’s close relationship with Israel, with Israeli-linked groups among major investors in the project.
Sea Lion is operated by Tel Aviv-listed Navitas Petroleum, which holds a 65% stake in the offshore development. The company’s chairman, Gideon Tadmor, a prominent figure in Israel’s energy industry, owns about 9% of Navitas shares, according to LSEG data.
The remaining 35% stake is held by London-listed Rockhopper Exploration, whose major investors include Israel-based Noked Capital, Brosh Funds and ION Fund Management.
Both Navitas and Rockhopper have said the project operates under valid licences issued by the Falkland Islands government and has the backing of the UK government.
“The Partnership operates pursuant to valid petroleum licences lawfully granted by the Government of the Falkland Islands, a self-governing UK Overseas Territory, and with the full and ongoing support of the UK Government,” Navitas said in a statement.
Argentina disputes the legality of the drilling activities, arguing that the Falkland Islands, known as the Islas Malvinas in Argentina, are subject to a sovereignty claim. Buenos Aires has previously sanctioned both companies and barred them from operating in Argentina for 20 years.
The Falklands dispute led to a war between Argentina and Britain in 1982, which ended with British forces retaining control of the islands.
Shares in Navitas and Rockhopper fell following Milei’s announcement, declining by as much as 6% and 12% respectively.
Milei, one of Israel’s strongest supporters in Latin America, has worked to strengthen ties with the Israeli government. He met Israeli Prime Minister Benjamin Netanyahu in April and signed bilateral cooperation agreements aimed at expanding relations between the two countries.
Argentine Foreign Minister Pablo Quirno said the sanctions would not affect relations with Israel, saying the government remained in communication with Israeli officials.
The Sea Lion oilfield, located about 140 miles north of the Falkland Islands, is estimated to contain about 1.7 billion barrels of oil.
Rockhopper and Navitas expect first oil production from the project in 2028, with an initial output target of 50,000 barrels per day. The first phase of development is expected to require about $2.2 billion in capital investment.
Navitas took over operatorship of the project in 2022, expanding beyond its existing Israeli energy activities, while Rockhopper continues to hold additional exploration licences around the Falkland Islands.
