Syria’s transitional state energy authorities announced on Tuesday that the Syrian Petroleum Company (SPC) has signed a memorandum of understanding (MoU) with United States-based ConocoPhillips and Novaterra to expand cooperation in the country’s natural gas sector.

The agreement, the energy ministry said, aims to develop existing gas fields and explore new resources using updated technical and technological standards to boost domestic output and energy security.

The Syrian Petroleum Company (SPC) chief, Youssef Qabalawi, said the pact carries near-term production goals.

“Under the new MoU, the gas output is expected to rise by 4–5 million cubic metres per day within a year,” he said. The Ministry presented the move as complementary to the transitional government's pledges to ramp up power supply nationwide.

War, sanctions, energy

Syria’s energy system was severely damaged during the 14-year war, and domestic production remains far below pre-war levels. The Ministry noted that although Syria now produces only a fraction of the electricity it needs, supply has improved in recent months in part because of imports of gas from Azerbaijan and Qatar. Domestic natural gas production is estimated to have fallen to about 3 billion cubic metres in 2023 from roughly 8.7 billion cubic metres in 2011 as a result of the war. Many of the major gas fields currently lie in areas outside the transitional government's control and under the control of the Syrian Democratic Forces (SDF).

Over more than a decade of fighting, pipelines, processing facilities, power plants, and extraction infrastructure have suffered damage or fallen out of service, reducing capacity and complicating maintenance. The decline in domestic production reflects loss of access to fields, prolonged underinvestment, and the operational challenges of repairing complex energy systems in a fragmented security environment.

Sanctions and international restrictions have further constrained the sector by limiting the ability of the former Syrian authorities to attract large-scale foreign investment, access modern equipment and technology, and secure international financing and insurance needed for major projects.

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Saudi crude arrives at Syrian port of Baniyas

On Tuesday, the first Saudi tanker, carrying 90,000 tons of crude oil, equivalent to 650,000 barrels, was delivered to meet Syria’s domestic energy needs. The shipment is part of a larger deal between Damascus and Riyadh to support Syria’s economy and fuel infrastructure.

Deputy CEO of SPC, Ahmed Kubha, confirmed the arrival of the shipment and stated that the oil would be refined locally at the Baniyas refinery. Kubha also announced that a second shipment, carrying 1 million barrels of crude oil, is scheduled to arrive on November 23.

In July, Syria and Saudi Arabia signed a memorandum of understanding in which Riyadh agreed to supply 1.65 million barrels of crude oil to Damascus. The agreement is seen as a key development in reestablishing regional economic ties and easing Syria’s energy shortages.

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