Jordan seeks Algerian LNG after Israeli gas supply shock

Jordan has held talks with Algeria about the latter covering its gas needs after its power sector was jolted by Israel’s decision to halt gas exports during its conflict with Iran.

Jordan’s energy and mineral resources minister Saleh Al-Kharabsheh discussed possible Algerian LNG supplies during virtual online talks with Algeria’s oil minister Mohammed Arkab on Tuesday.

The talks also covered crude oil supplies to Jordan by tankers, Algeria’s oil ministry said.

“The two sides discussed strengthening the partnership between their countries and developing trade exchanges, particularly in the areas of crude oil, liquefied petroleum gas (LPG), and LNG exports, as well as supplying Jordan with these resources, and in the distribution and storage of petroleum products,” it said in a statement on its website.

Kharabsheh described the talks with his Algerian counterpart as “fruitful” but he fell short of saying whether there was an agreement on possible energy supplies.

Israeli gas supplies to Jordan from the Leviathan field resumed on Friday after a 33-day interruption, Jordanian officials reported last week.

Further reading:

• Jordan’s power grid hit by suspension of Israeli gas exports
• Jordan issues two-month moratorium on foreign travel
• Jordan steps up gas field development to slash imports

Jordan depends on Israeli gas to generate nearly 60 percent of its electricity. The rest is produced from domestic gas output, shale oil, renewable energy and diesel.

The country’s National Electric Power Company (Nepco) said at the end of February that it had activated an emergency plan to deal with the suspension of Israeli imports. 

Kharabsheh, quoted by Jordan’s Addustour on Wednesday, said the ministry is working on a plan to rationalise power consumption, expand the use of solar energy and increase reliance on locally produced gas. He said the plan aims to minimise Jordan’s annual energy import bill of around JD3 billion ($4 billion).