Southern Governorate
Bahrain's industrial backbone: Awali oil settlement (1934), BAPCO refinery, BIIP investment park, largest governorate covering half of kingdom's landmass
The Southern Governorate is Bahrain's industrial backbone and hydrocarbon heartland—the kingdom's largest territorial unit covering more than half of Bahrain's landmass, yet with 56% non-citizen residents drawn to industrial employment. Here sits the origin of Bahrain's modern economy: the Awali settlement, founded in 1934 as the Gulf's first oil company town, remains the earliest modern petroleum 'camp' in Arabia and a candidate for UNESCO World Heritage status. BAPCO's 267,000 barrel-per-day Sitra refinery anchors the petrochemical sector, with a 2024 $500 million US Exim Bank loan financing continued Awali field development. Beyond oil, the Bahrain International Investment Park (BIIP) represents the diversification strategy, attracting export-oriented manufacturing and high-value FDI. Isa Town—Bahrain's first planned city—provides residential infrastructure for workers, while Riffa hosts royal residences and premium neighborhoods. The governorate's desert character and industrial concentration create the starkest contrast with the densely populated, service-oriented north: here is where Bahrain's resource extraction actually happens, even as the Capital captures financial headlines.