Jordan Signs Deals to Bring Natural Gas to Two Industrial Cities With UAE Funding

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Jordan's Minister of Energy and Mineral Resources, Saleh Kharabsheh, said projects to supply industrial cities with natural gas play a major role in giving different sectors, particularly industry, access to an alternative energy source.اضافة اعلان

Kharabsheh made the remarks Wednesday during a signing ceremony for contracts to build gas supply lines to the Mowaqqar and Rawdah industrial cities, funded with support from the Abu Dhabi Fund for Development. He said supplying industrial cities with natural gas helps cut costs, allowing local industry to compete, reach new markets, expand production, launch new production lines, create jobs, and contribute to economic growth.

Kharabsheh signed the contract for the Mowaqqar industrial city gas project with Bakinam Kafafi, chief executive of the Arab Energy Group. Waleed Lutfi, chairman of Petrojet and authorized signatory for the executing consortium, signed the contract for the Rawdah industrial city project in the Ma'an development zone.

Kharabsheh said the two agreements to deliver gas to Rawdah and Mowaqqar are backed by the United Arab Emirates through the Abu Dhabi Fund for Development, at a value of $70 million. He described the projects as part of the government's strategy to lower energy costs across economic sectors, with industry chief among them.

Mohammed Al Suwaidi, director general of the Abu Dhabi Fund for Development, said the fund's relationship with Jordan dates back to 1974. Al Suwaidi said the fund has provided a total of 9.4 billion dirhams in financial support to Jordan over that period.

He added that the projects the fund has backed in Jordan have proven their strategic and vital role in supporting the national economy, reflecting the strength of the relationship between the two countries at multiple levels. Al Suwaidi said the signing of the agreements underscores the fund's continued commitment to supporting Jordan's economic development.

The contracts cover two main projects. The first involves supplying the Mowaqqar industrial city with natural gas, awarded to a consortium of Petrojet and Ahmad Yousef Tarawneh and Partners. The second covers gas supply to the Rawdah industrial city in the Ma'an development zone, awarded to the Arab Energy Group.

Both projects are financed by the Abu Dhabi Fund for Development under a memorandum of understanding signed with the Jordanian government, represented by the Ministry of Planning and International Cooperation, to fund a number of development projects in the kingdom.

The financing supports targets under the second executive program of Jordan's Economic Modernization Vision and aims to develop the country's energy infrastructure.Kafafi said the gas pipeline for the Rawdah industrial city, which will run 14 kilometers, marks a pivotal step for the group and aligns with its plan to expand services that meet the energy needs of the industrial sector. She said the group intends to draw on its expertise in infrastructure development to support Jordan's industrial sector and contribute to sustainable growth.

Officials view the two projects as a strategic step toward strengthening the competitiveness of Jordan's industrial sector, lowering production costs, and providing factories with a sustainable, affordable energy source. They say the projects should also help improve the investment climate, make industrial cities more attractive to investors, and generate additional jobs.