Shell to Supply Jordan with LNG

Shell will start supplying Jordan with liquefied natural gas as of July.

Under the agreement with Jordan's National Electric Power Company, will Shell will supply 150 million cubic feet of LNG per day to the Aqaba LNG terminal under development. 

"This is a very important deal for Jordan and part of our efforts to diversify energy resources," Minister of Energy and Mineral Resources Mohammad Hamed told The Jordan Times.

According to Minister Hamed, the quantities Shell will supply each day cover some 25 per cent of the power company's daily needs for power generation.

The minister added that work on the terminal is about 78 per cent complete and that all necessary equipment and measures are already in place to start receiving the LNG.

NEPC plans to increase gas purchases from international markets as part of efforts to reduce losses and shift to less expensive gas than diesel and heavy fuel for power generation.

The value of the five-year deal is estimated to be $500 million per year at the current prices.