US President Donald Trump posted on Truth Social that Syria acting as an alternative to the Strait of Hormuz would be “great.” This comment was prompted by The Washington Post’s headline, which noted that Syria was “eyeing role as [a] Middle East hub, offers options to bypass Hormuz.”
Trump’s comment comes amid rising tensions between the US and Iran. The US carried out airstrikes in Iran, and Iran responded by attacking Jordan, the Kurdistan region of Iraq, the UAE, Kuwait, and other countries.
The White House has signaled that it has no interest in making a deal with Iran; it also doesn’t trust Iran. Despite this, some reports have claimed that the US prefers to keep the conflict contained and has no desire to see it escalate. This means that, should the US seek to appease Iran, it will have to tread carefully.
Meanwhile, Israeli officials warn of possible escalation and have warned Iran against attacking Israel. As such, the region’s politics remain volatile, and many sensitive issues related to Iran remain unresolved.
There are plans for Syria to serve as a means of transferring oil to the Mediterranean. However, a recent report at Reuters noted that “Iraq’s plans to export oil via a pipeline through Syria to avert future disruptions in the Strait of Hormuz will likely require four years of construction and cost at least $15 billion.” The report added that the idea was receiving “initial support for feasibility studies from a consortium including Chevron.”
In June, the Syrian Petroleum Company signed a deal with ConocoPhillips and energy firm Novaterra to rehabilitate gas fields in Syria. The deal will also pay for development of a new gas field.
In July, ConocoPhillips posted that it had “announced it has agreed to terms with BP to acquire a 42% interest in BP Energy Company of Kirkuk Limited, supporting the ongoing redevelopment of four large-scale, currently producing oil fields in the Kirkuk area of northern Iraq. The agreement is expected to be signed as part of Iraqi Prime Minister Ali al-Zaidi’s official visit to Washington, DC.”
There is an old pipeline from 1952 that links Iraq’s Kirkuk with Baniyas in Syria. However, it will take time to repair it and restore its relevance. Until then, Iraq and other countries will need to ship energy supplies on land.
The Washington Post noted that “day and night, 5,000 hulking trucks carrying oil from the Persian Gulf rumble across this stretch of barren desert as if in a caravan snaking its way toward the Mediterranean Sea.”
Damascus seeks international partnerships amid reconstruction push
This week, Syria focused on economic advancement and outreach to other countries. For instance, around 50 companies from Saudi Arabia participated at a fair in Damascus.
“Around 1,000 entities and companies from 60 countries are participating in this year’s Damascus International Fair, which runs through September 4,” Syrian state media noted.
In addition, Syria met with delegations from Denmark and Germany. “Foreign Affairs and Expatriates Minister Asaad Hassan al-Shaibani met on Wednesday with a delegation from Germany’s Federal Ministry for Economic Cooperation and Development, headed by State Secretary Niels Annen, to discuss ways to strengthen economic and development cooperation between Syria and Germany, and support national recovery and reconstruction priorities,” SANA state media added.
Syria’s president also met with the German delegation. “President Ahmad al-Sharaa held a roundtable meeting at the People’s Palace in Damascus with Annen and a number of heads and managers of German companies and members of the Syrian-German Business Council,” SANA added.
Syria is also working to rehabilitate the Mezzeh airport and use it for civilian aircraft. In the past, Mezzeh had been used by the Assad regime’s military.
Regarding the energy trade, The Washington Post article noted that “the trucks began shuttling between the refineries of southern Iraq and the Syrian port of Baniyas in April, initially as an experiment by Iraqi oil exporters seeking to circumvent the Strait of Hormuz after cargo traffic in the waterway was stopped by the US-Israeli war with Iran.”
The article quoted Ahmad Qubbaji, the deputy chief executive of Syrian state-owned Syrian Petroleum Corporation. It said that the company will operate the new pipeline and that Qubbaji noted that the “final contract is expected to be signed in September by a consortium that includes Houston-based Chevron, TotalEnergies of France, and Syrian and Qatari investors. The group is discussing security measures, including using drones and other advanced surveillance technology, to monitor the pipeline, which will also have security backing from the United States.”
From Venezuela to Syria, Trump pursues new energy corridors
Trump’s support for Syria as an oil transfer hub comes in the wake of a major deal in Venezuela. The White House posted on August 31 that “in the biggest oil deal in world history, President Donald J. Trump has secured US majority control of more than 65 billion barrels of proven oil reserves in Venezuela – vastly expanding our current US territorial proven reserves of roughly 46 billion barrels. This deal secures our energy dominance for the next century –all at zero cost to the United States.”
The White House added that “the deal, signed by Secretary of State Marco Rubio and Secretary of War Pete Hegseth, gives the US government powerful governance rights, economic ownership, and guaranteed low-cost off-take from a new private Venezuelan oil champion, which will be the second-largest private oil company by reserves in the world.”
This comes as the US helps tankers move through the Strait of Hormuz. The US Central Command (CENTCOM) is working to keep the strait open despite Iran’s threats.
This week, Gulf News reported that 40 ships had been able to move through the strait. “CENTCOM escorts record 18 million barrels of oil through Hormuz as US-Iran strikes flare,” Gulf News said.
Whether it’s through the Strait of Hormuz itself, or through Venezuela or Syria, the US is focused on one thing: securing a feasible route for energy trade.