A new oil refinery with a daily production capacity of 600 tons has officially commenced operations in Afghanistan’s northern Balkh province, according to officials from the Taliban. The facility, which represents a significant investment in the country’s industrial sector, was established with $50 million from the private sector.
Named Afghan Yasini Oil, the refinery is expected to create around 100 new jobs, as confirmed by local Taliban authorities.
This project adds to a growing list of infrastructure developments aimed at enhancing Afghanistan’s industrial capabilities. Last year, Afghanistan saw the launch of its largest oil refinery in Herat province. Located 25 kilometers north of Herat city, the Asia-Heriwa refinery has a daily production capacity of 7,000 barrels of oil, designed to meet the country’s domestic fuel needs.
The expansion of Afghanistan’s oil refining sector marks a key milestone in the nation’s efforts to reduce dependency on imported fuel, thereby stimulating local economic activity. Despite these advancements, Afghanistan continues to face significant economic hurdles, including international isolation and limited access to global markets, which pose ongoing challenges for sustainable industrial growth.