Syria targets oil self-sufficiency by 2028 despite supply gap, minister says
Damascus, Sept. 20 (SANA)Syria plans to reach oil self-sufficiency by 2028 as it works to raise domestic production and close a supply gap that has forced the country to rely heavily on imports, Energy MinisterMohammad al-Bashirtold the People’s Assembly on Sunday.
Al-Bashir, speaking during a parliamentary hearing onpetroleum suppliesand recent price increases, said domestic oil production currently stands at about 112,000 barrels per day, while Syria faces a supply gap of about 200,000 barrels per day that is covered by imports.
“Syria needs $831 million a month to purchase crude oil and petroleum products,” al-Bashir said, adding that the ministry sometimes resorts to negotiated contracts amid pressures in global energy markets.
He said the government has a strategic plan to increase domestic production and expects Syria to achieve oil self-sufficiency in 2028. Gas production, however, could take about seven years to reach what he described as satisfactory levels.
Al-Bashir said Syria has 78oil fieldsand that the ministry has been working to regain control of fields and rehabilitate infrastructure.
Oil production previously stood at about 140,000 barrels per day, he said, but output depends on the condition of individual wells. Several wells have been temporarily shut down for rehabilitation before being returned to production.
The ministry has formed a committee to assess oil and gas stocks and reserves and prepare a new map of the country’s resources, he added.
Natural gas production has risen to about 8 million cubic meters from 6 million cubic meters, but remains well below Syria’s estimated requirement of 24 million cubic meters, al-Bashir said. The ministry is drilling additional wells in an effort to increase output.
Syria is currently purchasing 6.3 million cubic meters of gas per day, at a cost of about $140 million a month, from Azerbaijan and through a vessel stationed at Jordan’s Aqaba port, he said.
Al-Bashir said rising demand has added pressure to the country’s fuel supply. The number of vehicles in Syria has increased to 3.6 million from 2.5 million, contributing to higher consumption.
Syria has refining capacity of about 150,000 barrels per day and imports petroleum products at a rate of about 150,000 barrels per day, he said.
Daily demand stands at about 12 million liters of diesel and 8 million liters ofgasoline, while average fuel oil consumption is about 8,500 tons for power generation and industry. Household gas consumption stands at about 1,300 tons, separate from gas used for electricity generation.
Al-Bashir said securing foreign currency to purchase crude oil, petroleum products and spare parts remains one of the ministry’s main challenges.
The minister said the government is keeping the Homs refinery operating despite its poor technical condition until new refining capacity can be established.
A full overhaul of theBaniyas refinerywas carried out because of its deteriorating technical condition and the need to protect workers, he said.
Al-Bashir said Syria is seeking contracts with friendly oil-producing countries to cover its needs until domestic production reaches self-sufficiency.
The government has also requested bids to complete the Arab Gas Pipeline from Jordan, a project al-Bashir valued at about $250 million. The Syrian Petroleum Company will cover the cost, he said.
Addressing the restructuring of the energy sector, al-Bashir said the creation of holding companies should not be interpreted as a move toward privatization.
“The establishment of holding companies does not mean moving toward privatizing the energy sector,” he said. “All companies affiliated with the ministry are state-owned.”
The Energy Ministry,established under the new government, oversees energy, water resources and oil. Al-Bashir said the ministry inherited “a heavy legacy from the deposed regime” and faces significant infrastructure and administrative challenges.
He said the ministry is moving from paper-based procedures toward an integrated digital system designed to automate transactions and connect its entities and databases.
“Our mission is to steer the energy sector toward sustainability by enhancing quality and improving oversight,” al-Bashir said, citing diversification of energy sources, governance reforms and plans to strengthen Syria’s role as a regional energy corridor.
He said the ministry’s longer-term strategy focuses on efficiency, innovation, partnerships and the transition toward cleaner energy sources.
Industrial facilities account for about 40 percent of Syria’s electricity consumption, al-Bashir said, adding that a reliable power supply for industry is necessary to support investment and production.
“We recognize the scale of the challenges facing Syria’s energy sector and do not underestimate them,” al-Bashir said. “But we know where we stand and what resources are available to us.”