Saturday 26 May 2018

Jordan to buy natural gas from Gaza

Amman, August 17, 2014

Jordan plans to import about one-third of its needs of natural gas from Gaza Strips' offshore gas fields at the end of 2017, a report said.

Jordan’s National Electric Power Company (Nepco) will sign a letter of intent in two months with British Gas Group to import natural gas, Minister of Energy and Mineral Resources Mohammad Hamed was quoted as saying in The Jordan Times report.

Nepco will import 150-180 million cu ft per day of natural gas from fields the company is developing offshore Gaza Strip, Hamed said.

"During the first quarter of 2015, Nepco will sign the agreement to purchase gas from British Gas Group,” the minister was quoted in the report.

Natural gas will be supplied to Jordan through the Arab Gas Pipeline, which is a natural gas pipeline that stretches from Egypt into Jordan and other neighbouring countries, Hamed said, adding "the amount of gas Nepco will import will cover about 30 per cent of the country's daily needs of natural gas for power generation."

Jordan consumes about 500 million cu ft of natural gas per day for production of electricity, the minister said.  "The agreement with British Gas will be the first in the region. It will greatly help reduce the losses of Nepco amidst rising costs of energy production,” he added.

"The price of the gas will be similar to the price of gas the Arab Potash Company will buy from Israel under a deal it signed earlier this year,” Hamed noted.

Tags: Jordan | natural gas |

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