Overview of Oil and Gas Regulation in Syria

From Oil4All
Jump to: navigation, search

Under Syrian law (as of 2011) the government is the major shareholder in the oil and gas sector through its ownership of the Syrian Gas Company (SGC) and the Syrian Petroleum Company (SPC). These two companies maintain a 50% share in every oil and gas project in Syria.[1]

The state-owned SPC operates a number of joint ventures with international companies in Syria, the largest of which is the Al Furat Petroleum Company (AFPC).[2]

Production Sharing Model

The state-owned entities interact with the international companies through production sharing contracts (PSCs),[3] an agreement which lays down the percentage of production each party will receive once the participating parties have recovered a specified amount of costs and expenses.[4]

References

  1. "EU: Freeze Assets of Syrian Oil and Gas Companies" Human Rights Watch, 16 August 2011.
  2. "Syria Oil Gas Profile" A Barrel Full, retrieved 8 March 2012.
  3. "Activities" SPC, retrieved 8 March 2012.
  4. "Oilfield Glossary" Schlumberger, retrieved 8 March 2012.