Reigning world champion Sebastien Ogier saw his chances of winning the Rally of Argentina go up in smoke after he failed to finish the second special stage with a technical problem.

"Everything went fine but after 10 km, we started losing power, like we were running on just three cylinders," the French driver told journalists.

"That's sport, there's an element of luck. This time, it wasn't for us."

The Frenchman's Volkswagen Polo stopped 46 kilometres into the stage, with a team spokesman telling AFP it wasn't an accident.

"The team will have to determine the source of the problem and if it's an electronic failure or a breakdown in the fuel supply, I will most likely be able to continue," Ogier explained.

"If it's engine-based, I'll probably have to head home."

If the Polo is repaired, Ogier will be able to restart on Saturday, but with a 25-minute penalty, which would rule out any chance of him finishing high up the standings save for an enormous surprise.

The second special stage, which was the first held on Friday, was won by Northern Ireland's Kris Meeke in his Citroen DS3, more than 30 seconds in front of Spain's Dani Sordo in a Hyundai and Finland's Jari-Matti Latvala (Volkswagen).

Belgium's Thierry Neuville (Hyundai) also saw his chances of victory effectively ended as he came home more than four minutes behind Meeke after suffering a puncture.

Ogier, the winner of the first three races of the season, won the first special stage ahead of Meeke on Thursday in the tourist centre of Merlo, 234 kilometres south of the race's Villa Carlos Paz base camp.
Source: AFP