Oil is Greece's most important fuel source, accounting for 62% of total energy consumption in 2002. Oil's market share is slowly declining, as natural gas becomes more important in the Greek energy market. By 2025, oil is expected to account for 57% of Greece's energy demand. According to 2006 Oil and Gas Journal estimates, Greece has oil reserves of just 7 million barrels with domestic production of 6,400 barrels per day (bbl/d) in 2005. Oil is imported primarily from Iran, Saudi Arabia, Russia, Libya and Egypt. The Greek government is attempting to increase imports from Russia in an effort to decrease its dependency on Middle Eastern oil resources..
According to the 2008 BP Statistical Energy Survey, Greece consumed an average of 443.26 thousand barrels a day of oil in 2007, 0.54% of the world total and had 2007 natural gas consumption of 4.02 billion cubic metres, 0.13% of the world total.
Greece's oil industry is dominated by Hellenic Petroleum (HP), formed in 1998 from the former state oil company, Public Petroleum Corporation (PPC). HP, which is majority owned by the government (35.5%), conducts oil exploration, imports crude and products, operates three large refineries (one in the Former Yugoslav Republic of Macedonia) accounting for 56% of petroleum product output in the country. HP also distributes and markets petroleum products and owns a 30% share in the Public Gas Corporation (DEPA).
In January 1997, Bulgaria, Greece, and Russia agreed to build the $700-million Burgas-Alexandroupolis oil pipeline linking the Bulgarian Black Sea port of Burgas with Alexandroupolis on the Mediterranean coast of Greece. This 180-mile underground pipeline would allow Russia to export crude oil (up to 300,000 bbl/d) via the Black Sea.
According to the 2008 BP Statistical Energy Survey, Greece had a 2007 refinery capacity of 425 thousand barrels a day, 0.48% of the world total.
