Syria is positioning its energy resources as the backbone of national recovery, seeking to revitalize a sector crippled by years of conflict and mismanagement. Engineer Youssef Qablawi, CEO of the Syrian Petroleum Company (SPC), recently detailed the nation’s strategy to attract foreign capital and reclaim its status as an energy producer in an interview with Al-Thawra. He framed the industry as a vital channel for financing development and rehabilitating infrastructure degraded by war and sanctions.
Structural Reforms and Sanctions Relief
Significant administrative shifts are underway to modernize the industry. Qablawi highlighted the impact of the United States lifting sanctions imposed under the Caesar Act, which he claims has cleared the path for global re-engagement. This follow a period of consolidation where several former ministries were merged into a single Ministry of Energy. A pivotal moment was Legislative Decree No. 189, issued last summer, which created a national holding company to manage the industry.
Under this new arrangement, the Syrian Petroleum Company now serves as the regulatory entity for the entire petroleum chain. This includes everything from upstream extraction to downstream processing and the management of transport pipelines. Qablawi noted that the goal is to centralize decision-making and simplify procedures to make the sector more enticing for investment partners.
Surging Global Interest
According to Qablawi, the lifting of sanctions led to an immediate spike in foreign interest. Since early last month, the headquarters of the Syrian Petroleum Company has hosted representatives from more than 90 foreign and Arab companies interested in entering or returning to the Syrian market. Among those cited was the Croatian firm INA, which has discussed resuming service contracts for fields it previously managed. He also mentioned renewed interest from companies that had prior contracts with subsidiaries such as Al-Furat, Dijla, and Hayyan, suggesting that investors still see value despite war-related damage.
Production Data and Geographic Constraints
Current output remains limited by a complex geopolitical landscape. Qablawi reported that Syria’s total oil production is approximately 100,000 barrels per day. However, only 10,000 barrels per day are currently under government control. The remaining 90,000 barrels per day are located in the northeastern region, where production is described as unstable or not fully controlled by the state.
In terms of gas, government-held areas produce 7.6 million cubic metres per day. This is supplemented by 3 million cubic metres per day provided as a Qatari grant from Azerbaijan, which is used specifically to fuel power plants. Household gas production currently stands at 180 tonnes per day, leaving the government reliant on maritime imports of crude and gas to meet local demand.
Refining and New Infrastructure Projects
On the refining front, the Baniyas refinery is the only facility operating at a full scale, processing 95,000 barrels per day against its design capacity of 110,000 barrels per day while using imported light crude. Meanwhile, the Homs refinery is undergoing extensive maintenance. It is currently producing around 30,000 barrels per day, with output expected to rise as subsequent repair phases are finished. Qablawi also noted that proposals have been submitted to build a new refinery in the Furqlus area east of Homs, with a projected capacity of 150,000 barrels per day.
Strategic Partnerships and Offshore Exploration
Major agreements are being finalized to boost production. Deals have been signed with Saudi companies including ADES, TAQA, Arkaz, and Arab Drilling to develop gas fields. Qablawi stated that natural gas production is projected to increase by 25 per cent within the first six months, reaching a 50 per cent increase after one year of ADES operations.
Furthermore, a memorandum of understanding was signed with ConocoPhillips to develop gas fields in eastern Syria and explore a corridor stretching from Saddad in the Homs countryside to Deir Ali in rural Damascus. Efforts also continue in Al-Bukamal, Deir ez-Zor, and the central region to reactivate partnership contracts suspended during the war.
Regarding offshore prospects, Qablawi mentioned a discussion held in mid-December with President Ahmad Al-Sharaa regarding a memorandum of understanding for Chevron to invest in five offshore petroleum blocks. He described these blocks as containing “internationally significant” reserves. Qablawi anticipates a noticeable rise in production by 2026, hoping the country can achieve fuel self-sufficiency “as soon as possible.”
The Roadmap and Remaining Hurdles
The CEO framed the recovery plan around three main pillars: administrative centralization, the attraction of foreign capital following sanctions relief, and the utilization of domestic and returning expertise. He pointed to the successful repair of the “National” drilling rig by local technicians as proof of Syrian capability. However, he admitted that significant obstacles remain, including geopolitical control over northeastern reserves, the need for massive investment to repair infrastructure, and the challenge of converting interest into signed contracts and capital inflows.
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