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Syria Moves Closer To Russia For Oil Exploration Contracts


What America was vying for, has been taken away by Russia, as Syria has chosen two Russian companies to undertake their oil exploration contract.
Syria is one of the richest sources of oil in the world.  According to Agence France Presse (AFP) reports, before the civil war, Syria produced around 380,000 barrels of oil per day. Post the war, oil production collapsed.

The Russian companies have been identified as Mercury LLC and Velada LLC. According to new sources, the Syrian oil minister Ali Ghanem has said that the contract is solely to ensure Syria can maintain good relations with ‘friendly nations’.

The deals will cover exploration and production in three blocs including an oilfield in northeast Syria and a gas field north of the capital Damascus. Sources confirm that while the contract was signed in a parliament session, it had been agreed upon a year ago.  Undeniably, an American loss is looking at a Russian gain. Shunned by Western powers, it seems the Syrian President Bashar Assad felt he could turn to allies like Russia and Iran to play a role in rebuilding the war-torn nation. This became more evident after Russia and Iran helped Syria’s army reclaim most of the country. This has become more evident after America pulled off its troops from Northern Syria, leaving the Kurdish forces to fend for them.

Oil fields have largely been in the hands of Kurdish fighters who seized swathes of north and east Syria from Daesh with US help. But the control has become a frenzy after Turkey stepped in eyeing not all the area as Safe Zone but also (indirectly) looking to get a piece of the oil pie. According to Syrian local media, Ghanem has confirmed that the oil ministry would seek to sign offshore contracts for oil investment which has been hindered by economic sanctions too.

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