Hellenic Shipping News: Jordan expects to finalise Israel gas deal next month – minister

Jordan expects to finalise a deal next month with Noble Energy Inc to supply the kingdom with natural gas from Israel’s Leviathan field, that could save at least $1.4 billion in the country’s annual import energy bill, the energy minister said.

The kingdom is struggling to meet electricity demand which is growing by more than 7 percent due to a rising population and industrial expansion. At the same time, reducing losses at state electricity firm NEPCO are a key performance criterion in Jordan’s 36-month standby loan deal with the IMF.

NEPCO piled up debts of 4.7 billion dinars ($6.6 billion) after it was forced to pay independent power producers for energy generated from costly diesel and heavy fuel, after disruptions to cheap Egyptian gas supplies.

“We are working on the long-term supply deal (with Noble Energy) but we have not yet decided the amounts and prices. We are aiming by mid-November to reach an agreement,” energy minister Mohammad Hamed said in an interview.
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