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Yemeni Oil Minister to Asharq Al-Awsat: We Plan to Establish Refineries in Shabwa, Hadramout

Yemen Oil Minister Dr. Saeed Al-Shammasi (Asharq Al-Awsat)
Yemen Oil Minister Dr. Saeed Al-Shammasi (Asharq Al-Awsat)
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Yemeni Oil Minister to Asharq Al-Awsat: We Plan to Establish Refineries in Shabwa, Hadramout

Yemen Oil Minister Dr. Saeed Al-Shammasi (Asharq Al-Awsat)
Yemen Oil Minister Dr. Saeed Al-Shammasi (Asharq Al-Awsat)

Yemeni Minister of Oil and Mineral Resources, Dr. Saeed Al-Shammasi, expressed the government’s full readiness to resume the export of crude oil and liquefied gas, immediately after the announcement of the expected peace agreement under the auspices of the United Nations, in a way that enhances and supports the state’s general budget.

In an interview with Asharq Al-Awsat, Al-Shammasi pointed to discussions with Saudi Arabia to help restart the Aden refineries, stressing that the Kingdom’s support during the last period has greatly reduced the burden on the state’s general budget and the import bill.

Al-Shammasi participated in the Future Minerals Forum, which was hosted in Riyadh on Jan. 10-11. He said that Yemen was rich in many minerals that are used in the solar energy and alternative energy industries, such as lithium and silicon.

The minister highlighted the final discussions to establish an oil refinery and an integrated industrial zone in the Al-Dhaba region in Hadramout Governorate, in addition to a domestic gas project in the Masila sector, and studies to establish an oil refinery in Shabwa.

Al-Shammasi refuted news about the withdrawal of OMV from Yemen, indicating that the company has a global trend to shift from exploration and production to specializing in the production of alternative energy and marketing of crude oil

The Yemeni Minister of Oil and Mineral Resources also spoke about many important files, including production capabilities and expected investments.

-Participation in the Future Minerals Forum

Yemen’s participation in the Future Minerals Forum was aimed at presenting the country’s rare and very large mineral resources, Al-Shammasi said, adding: “This year, after a period of about 10 years, during which Yemen did not participate in any exhibitions on a large scale and provide samples of its great mineral resources..., we focused in the conference on some of the minerals that the world needs, especially those used in solar energy and alternative energy industries.”

He continued: “We focused on switching from fossil fuels to alternative energy in order to preserve the environment and humans. This trend is important, especially in light of the discoveries of some materials that are used in these industries, such as lithium.”

-Mineral wealth in Yemen

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The Yemeni Minister of Oil and Mineral Resources indicated that his ministry has conducted several preliminary studies of the minerals that are available in most of the liberated areas. He revealed that during the forum, companies applied to establish a cement factory with an investment of $200 million in one of the southern governorates (Abyan, Shabwa, or Hadhramaut).

-Saudi support to restart Aden refineries

Al-Shammasi emphasized that the oil sector was one of the main pillars of the economy and contributed more than 70 percent of the state budget, but has been greatly affected by the war since March 2015.

He revealed advanced discussions with Saudi Arabia to restart Aden’s refineries, which he said constitutes a major priority for the ministry in 2024.

The minister continued: “In 2021, the Kingdom provided about $450 million to support oil derivatives. All of this undoubtedly reduced the burden very significantly on the state’s general budget and the import bill.”

-Foreign oil companies

Al-Shammasi admitted that foreign companies quickly react to any security developments that occur and declare force majeure, but at the same time, he explained that the situation has changed since the liberation of areas in the south, and parts of Marib, Taiz, and Hodeidah.

He underlined that “Yemen still requires the creation of a safe investment environment for these investments, stressing that investors were discouraged to come to a country that does not enjoy security, safety, and political and security stability.

The Yemeni Oil Minister reiterated that the Austrian company OMV has not withdrawn from Yemen, pointing out that it was following a global trend to shift from exploration and production to producing alternative energy and marketing crude oil.

-Readiness to export oil and liquefied gas

Al-Shammasi confirmed that the ministry is ready to export crude oil and gas immediately after announcing any peace agreement in the country, noting that Yemen’s leadership announced that in the first phase of peace, the export of crude oil and gas will be allowed in the first week of the agreement.

“We are ready at any moment for the peace process to begin and for us to be allowed to export crude oil. With regard to gas, we have recently launched a re-maintenance phase and have completed about 80 percent of the repairs of the Balhaf port,” he stated.

Commenting on the recent events that took place in the Marib oil governorate after raising the prices of oil derivatives, the Yemeni minister pointed to the government’s plan to unify the prices of oil derivatives throughout the country.

Al-Shammasi noted that Yemen welcomes all national and foreign investments in the field of oil, gas and precious metals, noting that the ministry was working to promote investment opportunities in all regional and international forums.

He said that final agreements were underway for two major projects in 2024. The first is the establishment of a refinery with an industrial zone in the Al-Dhabah region in Hadramout, with a production capacity of about 25,000 barrels in its first phase, and the second is the establishment of a domestic gas project in the Masila sector.

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UN Deputy Special Coordinator to Asharq Al-Awsat: Humanitarian Situation in Lebanon is ‘Catastrophic’

Imran Riza, the UN’s Deputy Special Coordinator, Resident and Humanitarian Coordinator for Lebanon (Asharq Al-Awsat)
Imran Riza, the UN’s Deputy Special Coordinator, Resident and Humanitarian Coordinator for Lebanon (Asharq Al-Awsat)
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UN Deputy Special Coordinator to Asharq Al-Awsat: Humanitarian Situation in Lebanon is ‘Catastrophic’

Imran Riza, the UN’s Deputy Special Coordinator, Resident and Humanitarian Coordinator for Lebanon (Asharq Al-Awsat)
Imran Riza, the UN’s Deputy Special Coordinator, Resident and Humanitarian Coordinator for Lebanon (Asharq Al-Awsat)

One of the UN’s top humanitarian officials in Lebanon, Imran Riza, has warned that the situation will worsen if the conflict continues, calling for an immediate ceasefire between Israel and Hezbollah.

He stressed that the ongoing war is placing immense strain on both the UN and the Lebanese government, as over a million people have been displaced. He said current needs exceed $400 million, but only 12% of that amount has been raised so far.

Worsening Crisis

Riza, who is the UN Deputy Special Coordinator for Lebanon, UN Resident, and Humanitarian Coordinator for Lebanon, spoke to Asharq Al-Awsat. He described the past two weeks as “catastrophic” for civilians, with the crisis growing over the last year.

More than 600,000 people have been displaced and over a million affected, with 300,000 crossing the border, according to Riza.

Many of these people have been displaced more than once in search of safety. Riza emphasized that the war has severely impacted civilians, with more than a quarter of Lebanon's population affected.

The UN has been working to address the crisis, but Riza said resources are limited.

He stressed that the UN has been saying all year that it doesn’t have enough funds, even when there were only 110,000 displaced people.

Last week, the UN launched a $426 million appeal for urgent humanitarian aid, with 12% of the funding already secured.

Riza said more support is expected, with donor countries pledging additional help.

He also expressed gratitude for contributions from the Gulf Cooperation Council (GCC), which provided medical and relief supplies, and said the UN hopes to see more international assistance soon.

Working with the Government

The UN is working closely with the Lebanese government every day to provide shelter, food, healthcare, and water to those in need.

Cooperation with the government has been excellent, said Riza.

However, he acknowledged that the government’s capacity is weakened after five years of ongoing crises, which have also severely impacted the population.

People are less resilient than they were during the 2006 war, and the government and its institutions are weaker, affirmed Riza.

The UN is helping the government respond effectively, ensuring transparency and accountability, so that aid reaches those who need it, he added.

The UN is also collaborating with local and international NGOs that have gained experience from Lebanon’s recent crises, helping to ensure a more effective response. Shelters are also being monitored to prevent any abuse.

A Different Reality from 2006

The current situation in Lebanon is very different from the 2006 war. Politically, the country now has a caretaker government and no president, with much less international presence.

Back then, other countries were more involved, said Riza.

The 2006 war lasted only 33 days, but this conflict has dragged on for a year, he noted.

During recent visits to southern border areas, Riza said locals were asking when the war would end, as the situation has worsened significantly in the past two weeks.

Riza noted that, in the first week of the crisis, it was extremely difficult to respond, and even now, many displaced people remain without shelter.

The UN is working with the government to provide shelter, food, and healthcare, but it’s not easy, he noted.

Displacement Crisis

With winter approaching, Riza stressed the need to properly house displaced people, saying that people can’t be left without shelter.

There are also concerns over a lack of housing, clean water, and sanitation, as well as the risk of disease outbreaks. Despite these challenges, Riza praised the close cooperation between the UN, international organizations, and partners.

Many agencies are responding, he asserted.

Riza rejected any claims of discrimination between displaced groups, noting that both Lebanese and Syrians are currently staying in UNRWA schools. He added that talks with the government about sheltering displaced Syrians have been positive.

Riza also expressed concern about the school year and children’s education.

Prolonged Conflict

The United Nations sees no immediate solution to the humanitarian and military crisis in Lebanon, with Riza stressing that the solution must be political and diplomatic, but first, a ceasefire is needed.

While there is little optimism for an end to the conflict, Riza said, the UN is encouraged by the support from its partners, which helps the organization assist the displaced.

He mentioned the recent evacuation of 1,000 people from Ain Ebel and aid distribution in Tyre, emphasizing the need to ensure that they reach those in need.

Riza called on all sides to respect international and humanitarian laws, allowing safe access for aid workers.

He condemned violations, including the deaths of firefighters, health workers, civil defense staff, and UN personnel, adding that the toll on civilian and health infrastructure is growing.