Argentine officials on Monday launched the operations of a major natural gas pipeline that will send domestic supply to northern regions and potentially pave the way for exports.

Known as the Northern Natural Gas Pipeline, originating in the western province of Neuquén, home to the Vaca Muerta shale formation, which is a key source of domestic oil and gas production.

The pipeline will replace imports from Bolivia and supply the growing demand in northern provinces, strengthening the country’s energy security in the region. 

The $710 million project was partially financed by the World Bank and the Development Bank of Latin America and the Caribbean. It involved reversing the flow of gas on the Northern Natural Gas Pipeline and constructing the La Carlota-Tio Pujio pipeline.

Meanwhile, the government is working on future natural gas exports to Bolivia, Chile, and Brazil, a significant shift from Argentina's traditional role as an energy importer.