Jordan mulls gas imports from Cyprus

AMMAN — Jordan is looking into importing natural gas from Cyprus, according to Minister of Energy and Mineral Resources Mohammad Hamed.

"We have already allowed some companies to buy natural gas from Israel and we are currently considering the purchase of gas from Cyprus," the minister told The Jordan Times Saturday.

The minister did not reveal more details but said there are serious plans in this regard.

Looking into several sources to import natural gas is part of the government's strategy to ease the heavy burden on the state-owned National Electric Power Company (NEPCO), whose losses are forecast to reach JD1.35 billion by the end of 2014, Hamed said.

"We have also allowed all companies to import natural gas from any source they deem suitable to help them overcome difficult economic conditions and increase their competitiveness," he added.

Last week, NEPCO said it will sign a deal in November to buy natural gas from Israeli fields starting late 2017.

NEPCO signed a letter of intent last week with Noble Energy, which owns 39 per cent of the Leviathan natural gas field in Israel, to buy gas over a period of 15 years and at a total cost of $15 billion.

NEPCO and Noble Energy will sign an official agreement in November for the purchase of natural gas, it was announced.

The deal between the two sides will be the second agreement between a Jordanian company and Noble Energy. In February, the Arab Potash Company (APC) signed a $771 million agreement with the US-based company under which the latter will provide APC with 66 billion cubic metres of natural gas over a period of 15 years.