Syria launches gas project with Saudi firm in latest Gulf energy partnership

The state-run Syrian Petroleum Company (SPC) has launched a project with Saudi energy services company ADES to develop and operate several gas fields in the central province of Homs, marking the latest Gulf-backed effort to revitalize Syria's war-torn fossil fuel sector.

What happened: The SPC said that work had begun after the project sites were handed over to ADES under the implementation agreement signed on April 5, the state-run Syrian Arab News Agency, SANA, reported Friday.

The project aims to increase the gas fields' production by 25% within the first six months and by 50% by the middle of next year, raising output to around 4 million cubic meters of gas per day for electricity generation.

According to SANA, Walid al-Youssef, SPC deputy executive director for exploration and production, said the project includes technology transfers and training for Syrian staff to support the development of the gas sector.

Why it matters: The project is the latest in a series of Gulf-backed investments aimed at rebuilding Syria's energy sector after the ouster of President Bashar al-Assad in December 2024 by Islamist rebel forces. Since taking office, President Ahmed al-Sharaa, former leader of the Islamist militia Hayat Tahrir al-Sham, has sought to attract foreign investment for reconstruction after the lifting of Western sanctions over the course of last year. Gulf companies have emerged as some of the biggest investors in the reconstruction effort.

A consortium led by Qatar-based UCC Holding signed the largest of the Gulf-backed energy projects in May 2025. The $7 billion electricity generation deal will see the construction of four combined-cycle gas turbine power plants in the governorates of Aleppo, Deir Ezzor and Hama, to produce a combined total of around 4 gigawatts, as well as a 1 gigawatt solar plant in the south. The project will contribute to rebuilding Syria’s power grid, which was severely damaged in the 13-year civil war that erupted in 2011.

In July 2025 in Riyadh, Saudi and Syrian representatives signed a memorandum of understanding on oil and gas cooperation, petrochemicals, electricity sector development, renewable projects and regional grid integration.

Last November, UAE-based Dana Gas inked an MoU with Damascus to evaluate and potentially redevelop multiple gas fields, including the Abu Rabah field, one of Syria’s largest. In a statement at the time, Dana Gas said that it will conduct technical assessments before any final investment decision.

A month later, multiple Saudi energy firms signed agreements with the SPC, focusing on gas field development and technical services for production enhancement.

Know more: The ADES investment comes as Syria looks to restore domestic gas production. Domestic natural gas demand is around 23 million cubic meters per day, according to Syrian officials. Actual supply is a far cry from that, with domestic production having dropped from more than 21.9 million cubic meters a day prewar to around 7–8 million cubic meters a day as of July last year, according to oilprice.com.

Syria has significant energy resources for potential domestic use, with around 2.5 million barrels of proven crude oil reserves and between 8.5 and 9 trillion cubic feet of proven natural gas.