Afghanistan is not an oil producing country with its ecomnomy relying mainly on on agriculture. The country imports petroleum products such as diesel, gasoline, and jet fuel from Pakistan and Uzbekistan, with limited volumes from Turkmenistan and Iran serving regional markets. Turkmenistan also has a petroleum product storage and distribution facility at Tagtabazar ( Kushka – it’s on the Turkmen side) near the Afghan border, which supplies northwestern Afghanistan.
The Angot Oilfield produces a small quantity of crude oil and is located in Sar-i-Pol province. A pipeline connects the Djarquduk, Khowaja Gogerak, and Yatimtaq natural gas fields to Mazar-i-Sharif. Limited amounts of gas are currently supplied to a 48-MW power plant near Mazar-I-Sharif (which is operating at less than one-third full capacity) and for the 100,000 mt/y fertilizer plant, which is partially operational. There are also Small-diameter pipelines which supply gas to the Khwaja Gogerdak and Djarquduk gas fields and nearby villages.
At its peak in the late 1970s, Afghanistan supplied 70%-90% of its natural gas output to the Soviet Union's natural gas grid via a link through Uzbekistan. In 1992, Afghan President Najibullah indicated that a new natural gas sales agreement with Russia was in progress. However, several former Soviet republics raised price and distribution issues and negotiations stalled. The last Soviet technical advisors left Afghanistan in 1988. After a brief hiatus, oil production at the Angot field was restarted in the early 1990s by local militias.
Between the 1960s and mid-1980s, the Soviets had identified more than 15 oil and gas fields in northern Afghanistan. Only three gas fields - Khwaja Gogerdak, Djarquduk, and Yatimtaq - were developed in the area surrounding Sheberghan, which is located about 120 kilometers west of Mazar-i-Sharif. Afghan natural gas production reached 275 million cubic feet per day (Mmcf/d) in the mid-1970s. The Djarquduk field was brought online during that period and boosted Afghan natural gas output to a peak of 385 Mmcf/d by 1978.
The Soviets had estimated Afghanistan's proven and probable natural gas reserves at up to 5 trillion cubic feet (Tcf) in the 1970s. Afghan natural gas production reached 275 million cubic feet per day (Mmcf/d) in the mid-1970s.
Northern Afghanistan has proved, probable and possible natural gas reserves of about 5 trillion cubic feet (Tcf). This area, which is a southward extension of the highly prolific, natural gas-prone Amu Darya Basin, has the potential to hold a sizable undiscovered gas resource base, especially in sedimentary layers deeper than what were developed during the Soviet era. Afghanistan’s crude oil potential is more modest, with perhaps up to 100 million barrels of medium-gravity recoverable from Angot and other fields that are undeveloped.
Outside of the North Afghan Platform, very limited oil and gas exploration has occurred. Geological, aeromagnetic, and gravimetric studies were conducted in the 1970s over parts of the Katawaz Fault Block (eastern Afghanistan ( along the Pak border) and in the Helmand and Farah provinces.
Due to its location between the oil and natural gas reserves of the Caspian Basin and the Indian Ocean, Afghanistan has long been mentioned as a potential pipeline route, though in the near term, several obstacles will likely prevent Afghanistan from becoming an energy transit corridor.