JORDAN - Jordan's energy minister said the country plans a nearly fourfold increase in natural gas imports from Egypt and will explore purchases from Qatar and Algeria, Bloomberg reported on Thursday. Jordan, which imports almost all its energy, is scheduled to sign an agreement in two weeks that will raise gas supplies for power plants to 330 million cubic metres from 240 million cubic metres starting early 2011, Jordanian Energy Minister Khalid Irani said. The countries also agreed to build a pipeline network to bring 500 million cubic meters of Egyptian gas to feed houses and industries in Jordan, Irani said. Jordan started importing gas from Egypt in 2003, receiving about 300 million cubic feet a day through a link across the Gulf of Aqaba that also feeds Syria and Lebanon. Egypt's gas exports dropped by about 30 per cent because of technical faults in that country's installations, Ghaleb Maabreh, the general manager of Jordan's National Electric Power Co., said June 23. Jordan's electricity company reported a loss of 40 million dinars ($56 million) after the Egyptian shortfall forced the company to use heavy fuel oil, which is more expensive than natural gas, he said. Jordan, whose power use may double in 10 years, is also considering importing gas from Qatar and Algeria, Irani said. Jordan was connected to Egypt through the Arab gas pipeline project in 2003 after the project was agreed to in 2000 to export Egyptian gas to Jordan, and then beyond. Egypt exports 5.7-7.1 million cubic metres per day of natural gas to Jordan, according to official data. The agreement signed between both countries for Arab pipeline exports was originally for 1.1 billion cubic metres per year. Egyptian gas flows through the pipeline from Arish in Egypt to Aqaba in Jordan and from there to Homs in Syria and enters Lebanon through Tripoli. Arab energy officials say that unlike other joint projects that have mostly proved to be white elephants, the Arab pipeline could be a foreign currency earner if Europe uses it to import part of its growing needs for gas. Egypt's proven natural gas reserves were 77.2 trillion cubic feet in its 2008/09 fiscal year, according to the oil ministry. Egypt exports natural gas by pipelines and also ships liquefied natural gas (LNG) abroad. The most populous Arab country said in 2008 it would not sign any new gas export contracts until the end of 2010 because of rising domestic demand. Egypt has said it expected 36 exploratory and development wells for natural gas to be drilled in 2010.
