Syria has taken a significant step towards reviving its energy sector after signing a landmark agreement to develop its first offshore oil and gas field.
The memorandum of understanding was signed this week between the Syrian Petroleum Company, US energy major Chevron, and Qatar based Power International Holding.
The signing took place in Damascus and was attended by senior officials, including the US special envoy to Syria, Tom Barrack. According to Syria’s state news agency SANA, the agreement focuses on offshore exploration and the development of oil and gas resources within Syria’s territorial waters. It also aims to encourage wider investment and long term growth across the country’s energy sector.
The deal marks Syria’s first formal move into offshore energy exploration and reflects the government’s efforts to attract foreign partners and rebuild hydrocarbon production after years of decline. Youssef Kabalawi, CEO of the Syrian Petroleum Company, said, “Before the summer, God willing, we will start mobilization and drilling.”
He added that reaching the gas reserves could take up to four years, underlining the long term nature of the project.
Syria’s oil and gas industry has suffered severely due to nearly fifteen years of conflict, which resulted in widespread damage and the loss of hundreds of thousands of lives. Before unrest began in 2011, oil production stood at around 380,000 barrels per day, with exports generating more than $3 billion in 2010. At that time, oil revenues made up roughly a quarter of the government’s budget.
Recent developments may improve the outlook. Syrian government forces regained control of large areas in the north east and oil rich eastern regions last month, potentially opening the door to renewed exploration in some of the country’s most valuable energy zones.
Since coming to power in December 2024 after the removal of Bashar Assad, Syria’s new authorities have prioritised economic recovery. The offshore agreement with Chevron and Power International Holding signals a clear intention to rebuild the energy sector and re establish Syria as a regional player in oil and gas development.
