Israeli-Jordanian Gas Pipeline to Come Online in 2017

Israeli-Jordanian Gas Pipeline to Come Online in 2017

The first natural gas pipeline from Israel to Jordan, which is going to supply Israeli gas to the Hashemite Kingdom, is expected to begin operating in 2017, The Jerusalem Post reported.

The pipeline, currently being constructed in the Sdom area by the Dead Sea, will supply gas from the Tamar reservoir to private customers in Jordan for an initial term of 10 years, according to i24News. In February, the Tamar partners signed a letter of intent with private customers in Jordan to supply 1.8bcm over 10 years, informed The Jerusalem Post.

A second pipeline, which is due to be built in the Beit Shean area, will supply gas from the Leviathan off-shore reservoir to the Jordanian National Electric Power Company (NEPCO). Gas from the Leviathan field is scheduled to begin flowing before the end of 2019.

The Israeli-Jordanian cooperation comes in the framework of a gas deal signed between the two countries in September 2014. Under the agreement, Israel will supply Jordan with $15b worth of natural gas. “The agreement is for an initial term of 15 years and a total gross quantity of approximately 66 billion cubic feet of natural gas,” Noble Energy said, according to the Xinhua news agency.

As Israel’s Energy Minister, Silvan Shalom, said ahead of the agreement signing in 2014: “This is a historic move that will strengthen economic and diplomatic ties between Israel and Jordan.” He added that “Israel is turning into an energy power which will supply its neighbors’ energy needs and strengthen its standing in the region.”

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