Jordan and Egypt on Monday sign an agreement that enables Jordan to utilise Egypt’s floating storage and regasification units (FSRUs) for the next two years, according to The Jordan News.
The agreement was signed in Cairo by Director General of Jordan's National Electric Power Company (NEPCO) Sofyan Batayneh and Chairman of the Egyptian Natural Gas Holding Company (EGAS) Yassin Mohamed, according to an Energy Ministry statement.
Jordan will rely on Egypt's FSRUs until 2026 when a land-based regasification facility under construction in Aqaba is expected to become operational.
Under the agreement, Jordan will have priority access to Egypt's FSRUs, with 350 million cubic feet of natural gas per day allocated to meet Jordan’s needs—equivalent to 50 per cent of an FSRU’s capacity. The cost of Jordan's LNG shipments is expected to be around $3 million each, with an additional $5 million for transport via the Egyptian gas network. Total annual costs are capped at $10 million, significantly less than the $70 million currently spent on the Aqaba LNG terminal.