Extensive cattle production on native grasslands is vital to the sustainability of the South American Pampas, and the inclusion of tannin-containing legumes can increase farm profitability, improve nitrogen (N) use and reduce greenhouse gas (GHG) emissions. This study quantified the effects of adding tannin-containing legumes to native grasslands on enteric methane (CH4) emissions, animal performance and N balance in cattle. A crossover design trial was conducted with 22 beef heifers under two treatments: native grassland (NG) and native grassland with the addition of Lotus uliginosus and L. angustissimus (NG+L). The results showed that forage mass disappearance was similar between treatments; however, 54% of the forage disappearance in the NG+L corresponded with legumes, indicating that the heifers in this treatment consumed a better-quality diet. While individual CH4 emissions were similar between treatments, heifers grazing the NG+L showed a higher average daily gain (ADG) and lower emissions intensity than heifers grazing NGs (0.25 vs. 0.58 g CH4/g ADG, p < 0.05). Additionally, they also ingested 20% more N and were more efficient in its utilization. Incorporating tannin-containing legumes into native grasslands can improve animal productivity and N use efficiency while reducing the intensity of enteric CH4 emissions.