economy

Syrian oil production reaches 100,000 barrels, and new Saudi agreements are in place

Syrian Energy Minister Mohammed al-Bashir revealed significant progress in the national energy sector, announcing that the country's oil production has now reached approximately 100,000 barrels per day. In his recent statements, the minister indicated that Damascus has ambitious plans to substantially increase these rates, provided that fundamental solutions are found for the outstanding issues in the areas east of the Euphrates River, which contain a large portion of the country's strategic oil reserves.

In a related context regarding recovery plans, the Syrian Ministry of Oil predicted a significant leap in natural gas production, aiming to reach the threshold of 15 million cubic meters by the end of 2026. These expectations are supported by technical studies and development plans aimed at rehabilitating wells and increasing the efficiency of existing facilities, according to what was reported by media agencies following Syrian economic affairs.

Strategic partnership with Saudi Arabia

Last week witnessed a significant development in joint Arab cooperation, with four Saudi companies signing important agreements with the Syrian Petroleum Company. These agreements cover vital areas including oil services, specialized technical support, and the development and production of oil and gas fields within Syrian territory. This step comes under the direct supervision of the Saudi Ministry of Energy, reflecting the official support for these partnerships.

These agreements are a natural extension of the growing cooperation between the Kingdom of Saudi Arabia and the Syrian Arab Republic in the energy sector, and an activation of the memoranda of understanding signed on August 28, 2025. The final signing was preceded by a series of intensive workshops and field visits to the relevant fields and facilities to assess needs and develop work plans.

Historical background and challenges of the sector

To understand the significance of the currently announced figures, it is necessary to revisit the historical context of oil production in Syria. Before the outbreak of the crisis in 2011, Syria's oil production was approximately 380,000 barrels per day, which covered domestic needs and provided a surplus for export, bolstering the state treasury with hard currency. However, years of war and sanctions, coupled with the loss of control over vast areas of oil fields in the eastern region, led to a sharp decline in production, causing severe fuel and electricity shortages that impacted the daily lives of citizens.

Economic and geopolitical importance

The minister's announcement linking increased production to resolving the problems in eastern Syria carries profound geopolitical and economic implications; most of the major oil fields, such as al-Omar and al-Tanek, are located in that region. Therefore, any political or security settlement that reintegrates these fields into the national production system would constitute a major turning point for the Syrian economy.

Furthermore, the entry of Saudi companies with their expertise and advanced technologies represents a lifeline for the ailing sector, as Syria's oil infrastructure requires massive investments and complex maintenance that cannot currently be provided locally. The increased gas production is expected to have a direct impact on the electricity sector, since most Syrian power plants rely on gas, promising a gradual improvement in electricity supply hours and a revival of industrial production.

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