Afghanistan is a landlocked country with an abundance of natural resources. Nevertheless, despite its wealth in minerals, it continues to be among the world’s poorest nations as a result of decades of political unrest and warfare. However, Afghanistan has experienced a tremendous transition as it has rapidly developed toward petroleum product self-sufficiency since the Taliban seized over.
An article in al-Amara Urdu, the Taliban’s official publication, reports that the Ministry of Minerals and Petroleum has prioritized investment in natural reserves, particularly petroleum products, under the new Islamic Emirate. This focus has led to significant growth in the sector. Recently, the Afghan Ministry of Minerals and Petroleum announced that for the first time, 1.5 million tons of crude oil worth over $80 million from the Amu Darya oil field will be processed domestically and sold to a private company.
With the concerted efforts of the Deputy Prime Minister for Economic Affairs and the Ministry of Minerals, Afghanistan is quickly moving towards petroleum self-sufficiency and is expected to become an exporter of petroleum products in a few years. A 2011 study by US geologists revealed that the Amu Darya area holds vast reserves of 962 million barrels of crude oil and natural gas.
Afghanistan covers 650,000 square kilometers, with about 200,000 square kilometers containing significant oil and gas reserves, spread across five regions in the north, south, east, and west. Currently, Afghanistan uses 10,000 tons of oil daily, all imported. The Amu Darya oil field, however, produces 13,500 tons per day from 40 wells, with a target to increase by 2,000 to 3,000 tons per day by the end of the year through the drilling of 23 more wells.
The Amu Darya oil field spans 50,000 square kilometers in the Northern provinces of Sarpul, Faryab, and Jawzjan. Last year, the Emirate of Islamia awarded a 25-year contract for oil extraction from this field to China’s Xinjiang Central Asia Petroleum and Gas Company. Under this agreement, the Chinese company will invest $150 million in the first year and $540 million by 2026.
Afghanistan currently imports 50,000 barrels of oil daily from Iran and Uzbekistan. Increasing oil extraction from the Amu Darya field could greatly benefit Afghanistan’s economy and help achieve self-sufficiency, reducing reliance on neighboring countries.
According to Al-Amara, for the first time in five decades, the establishment of peace in Afghanistan has created a favorable environment for foreign investment. As a result, investors from China, Russia, the United Arab Emirates, Kazakhstan, Uzbekistan, and Malaysia are showing interest.
Minister of Minerals and Petroleum Sheikh Shahabuddin Dilawar announced that a major company will soon be awarded the contract for oil extraction in Herat province. The deposits in Herat and Badghis cover 23,000 square kilometers, and the Katwaz project in Paktia, Paktika, and Khost spans 40,000 square kilometers, both containing vast oil and gas reserves that are being rapidly developed.
