Argentina's Milei threatens sanctions on oil firms near Falklands

Argentine President Javier Milei used a national address to unveil plans for a bill imposing economic sanctions on oil companies operating near the Falkland Islands, calling such activity a "clear and present danger" and reasserting that the islands belong to Argentina "historically and legally."

The announcement centres on the Sea Lion oilfield, located roughly 130 miles from the islands and estimated to hold 1.7 billion barrels of oil. Britain's Rockhopper Exploration and Israel's Navitas Petroleum are expected to begin exploration there within two years. Milei warned that without prompt action, these firms would soon gain the technical ability to extract oil from what he called Argentine waters. Argentine law already permits restricting the operations of companies involved in projects deemed unauthorised on the islands.

Milei also revealed plans to build a new naval base in Tierra del Fuego, in southern Argentina. He said US President Donald Trump and Washington were reassessing their historical position on the islands, which Argentina calls Las Malvinas, describing Argentina as a reliable, long-term US ally while calling Britain a nation "in decline."

Earlier the same day, in an interview with GB News, Trump noted that Britain had not supported the US during its conflict with Iran, remarks that follow his earlier suggestion that Washington could revise its neutral stance on the islands' sovereignty if the UK does not raise defence spending.

The dispute over the Falklands, also known as the Malvinas, has persisted for more than four decades since the 1982 war, which killed 255 British service members, three islanders and 649 Argentine troops. In a 2013 referendum, islanders voted overwhelmingly to remain a British overseas territory. The UK government has repeatedly stated that Falkland islanders have the right to determine their own future.