Report: Argentina halts Jerusalem embassy move over Falklands drilling dispute

Argentina has halted its plans to relocate its embassy to Jerusalem, Channel 12 reports, due to “tension” between Prime Minister Benjamin Netanyahu and Argentine President Javier Milei in recent weeks.

According to the report, tensions arose due to plans to carry out offshore drilling by the Israeli-owned Navitas Petroleum company in the Falkland Islands.

The Falkland Islands are a British overseas territory, although Argentina claims that it, not the United Kingdom, has sovereignty over the islands.

In December, Argentina criticized Navitas and UK firm Rockhopper for announcing what it said was an “illegitimate” oil drilling project worth roughly $2.1 billion off the coast of the Falkland Islands.

The drilling is expected to begin in 2028.

Foreign Minister Gideon Sa’ar attempted to communicate to Argentina that the Israeli government was not involved in, and had no control over, Navitas’s operations, given that it is a public company.

Channel 12 cites anonymous sources close to Milei as saying that not only has the disagreement effectively halted the relocation of the embassy, but risks harming relations between Buenos Aires and Jerusalem, which have grown close following Milei’s election in 2023.

The Foreign Ministry tells Channel 12, in response to its request for comment, that Argentina under Milei “is one of Israel’s best and closest friends, and there is ongoing and close contact between the leadership of Israel and Argentina.”

Noting Sa’ar’s previous comments on the issue, the Foreign Ministry adds that the matter “will continue to be discussed between parties.”