Update: oil grosses ISIS $8-10m monthlyJuly 27, 2015
U.S. officials say new figures on oil revenues of the Islamic State of Iraq and Syria (ISIS) are more accurate than previous estimates. The new figures suggest ISIS receives about $100 million a year. NBC reports that the revenues are “three times as much” as previously thought, but that’s not really true. A 2014 estimate from a Turkish opposition official was of $800 million a year. So the headline could have been changed to “eight times less,” but it’s still good to have updated information. From NBC News (h/t Mia):
ISIS Makes Three Times as Much from Oil Smuggling as Previously Thought: Officials
Two U.S. counter-terrorism officials tell NBC News that intelligence gathered from a U.S. raid in Syria details ISIS finances, revealing millions of dollars in oil wealth.
“The more time on target, the better the estimate,” a senior U.S. official told NBC News. U.S. intelligence agencies have spent a lot of “time on target” since the target, ISIS, emerged just over a year ago. As a result, their understanding of the group’s workings is becoming more intimate.
Oil smuggling, much of it to Turkey, is a key source of income for ISIS. The group uses the money in part to pay its fighters monthly salaries and provide stipends to their families. Foreign fighters tend to be the highest paid of the ISIS recruits, earning as much as a $1,000 a month, according to two Syrian sources.
ISIS, unlike al-Qaeda, sees itself as a state, providing an education and welfare system, which means the group has high running costs. Two U.S. counter-terrorism officials now tell NBC News that the amount of money ISIS can earn from selling and smuggling oil and gas is roughly to $8 to $10 million a month. The officials said this is the most accurate information they have had so far, calling previous estimates speculation.
“We have learned more about the internal market. ISIS sells oil and gas everywhere. It sells within Syria, and to the Syrian regime. It sells in Iraq. It is a more extensive and complex market than we assumed,” a senior counter-terrorism official said.