Syria is undertaking extensive reconstruction efforts following more than a decade of armed conflict that devastated its infrastructure and displaced millions of residents. The transitional government, established in March 2025 under President Ahmed al-Sharaa, has prioritized economic diversification and sector-wide reforms aimed at supporting long-term recovery and improving living standards.
The government has reasserted control over key energy assets, including the Omar oil field and Tabiyeh gas complex, which were previously fragmented across different regions during the conflict period. A 2026 agreement with the Kurdish-led Syrian Democratic Forces offers potential for further consolidation of energy governance. The removal of international sanctions following the fall of the previous regime and the restoration of the SWIFT transfer system have created opportunities for foreign investment in Syria’s energy sector.
Before 2011, Syria produced approximately 380,000 barrels per day of crude oil and 900 million cubic feet of gas. Production declined substantially during the conflict, with oil output falling 80 percent and gas production declining by half according to industry data. Despite these losses, the country retains estimated reserves of 1.3 billion barrels of oil equivalent, along with largely unexplored onshore areas and untapped offshore resources. In May, the government announced a deep-water exploration project involving Chevron, Qatar’s UCC Holding, and the Syrian Petroleum Company, with other international firms expressing interest.
Syria’s geographic position offers potential benefits for regional energy trade. Current geopolitical tensions affecting Persian Gulf energy exports have generated interest in Syria as a transit corridor for pipelines connecting Middle Eastern oil and gas supplies to Mediterranean markets, potentially serving as an alternative route bypassing existing constraints.
Beyond conventional energy development, the transitional government is pursuing significant renewable energy expansion. Recent agreements include a $7 billion power sector reconstruction deal signed in June 2025 with international partners, a September 2025 joint development agreement with Saudi energy company ACWA Power, and a February wind farm project with Dubai-based Marv Energy. The government also issued a request in October for the Halabiya-Zalabiya Dam project, which would incorporate hydroelectric and pumped-storage capabilities at an estimated cost of $1.16 billion.
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