Shell Operations in Syria
As of 2011, Shell held a 37.5% stake in the AFPC, in partnership with the Syrian General Petroleum Corporation (GPC), Himalaya Energy Syria and a consortium of CNPC and India's ONGC. In September 2008, Shell extended its three Production Sharing Agreements (PSAs) with the Syrian government for a further ten years.
As of 2011 Shell was only active in the upstream segment of the Syrian oil sector. The company's two subsidiaries in upstream Syria are 'Syria Shell Petroleum Development' (SSPD) and 'Shell South Syria Exploration' (SSE)
The SSPD is the major vehicle for operations and has interests ranging from 62.5% to 66.67% in three production licenses in Syria, at Deir Ez Zor, Fourth Annex and Ash Sham. All three contracts were signed with the Syrian government and the Syrian General Petroleum Corporation (GPC).
In 2010 the SSPD produced 7.3 million barrels of oil equivalent (boe), compared to 14.2 million boe in 2005. In 2009 Shell's operations accounted for 5.9% of Syria's total oil production, down from 8% in 2005.
The SSE is a 100% owned Shell subsidiary registered in Bermuda and has exploration interests in two production-sharing contracts for blocks in the south of Syria.
The 'Pecten-Syria Petroleum Company', a wholly owned subsidiary of Shell, is also a major investor in Syria. Pecten has invested heavily in oil exploration and has developed the Thayyem fields in eastern Syria. Pecten holds a 15.625% in the AFPC, alongside the Syrian Petroleum Company (SPC), Royal Dutch Shell and Deminex. Shell is the operator of the venture.
Impact of Uprising 2011
- “Investments of European companies in Syria” IKV Pax Christi, 13 May 2011.
- “The Right Mix” Syria Today, April 2010.
- “Syria: U.S. Economic Sanctions Carry Little Weight” Washington Report, Januar 1987.
- “Syria: the Offshore Prospects” High Beam Research, 8 March 2004.
- “Gulfsands shuts down production in Syria” Financial Times, 12 December 2011.