November 19, 2024-

The Minister of Energy and Mineral Resources, Dr. Saleh Al-Kharabsheh, confirmed that the quantities of gas at Al-Risha field call for optimism, but they are read with their economic feasibility to assess the size of the expected addition to the national economy.

He stressed in a press conference held by the minister today, Tuesday, at the Government Communication Forum to announce the "results of the study of natural gas reserve estimates at Al-Risha field", that the estimates of gas reserves are according to the approved international classifications (highest, average and lowest), as (average) is usually used as the best estimate.

Al-Kharabsheh indicated that the volume of natural gas reserves inside the earth's crust and before starting drilling and rehabilitation operations is estimated at 11.990 trillion cubic feet, with an extraction factor of 39%, and thus the initially expected quantities that can be extracted from it amount to 4.675 trillion cubic feet.

He pointed out that the lowest estimate of the size of the natural gas reserve in the field is 9.39 trillion cubic feet, with an extraction factor of 30%, as the expected quantities that can be extracted from the field are 2.835 trillion cubic feet, while the highest estimate of the gas reserve in the field is 14,600 trillion cubic feet, with an extraction factor of 43%, and the quantities of gas that can be extracted are 6.350 trillion cubic feet.

Al-Kharabsheh added that in order to exploit the natural gas available at AL-Risha field, the National Petroleum Company is amending its strategic plan to align with the outcomes of this study in terms of building production facilities and gas transmission lines, and accelerating and intensifying well drilling operations, which requires a time estimated in years that may reach ten years to complete the work on developing the field and an investment volume exceeding 2 billion dinars.

Al-Kharabsheh pointed out the government's interest in the industrial sector as a basic lever for achieving economic development and achieving the growth rates indicated by the Economic Modernization Vision. It is also an important driver for the national economy and plays a fundamental role in addressing and alleviating the burdens of unemployment, as the positive effects of using natural gas in industries are represented by reducing costs by 30 percent compared to heavy fuel, 55 percent compared to liquefied petroleum gas, and 60 percent compared to diesel.

The Minister explained what the Ministry has done during the past period, as it worked in 2022 to relaunch the national program for oil and gas exploration in the Kingdom, and the National Petroleum Company began preparing studies at AL-Risha gas field since February 2022 with the aim of estimating the natural gas reserve at the field in several stages.

The first stage included reprocessing geophysical information, and in the second stage, the geological model Static Model was prepared by the National Petroleum Company.

The Minister added, at the presence of the Director General of the National Petroleum Company, Eng. Mohammad Al-Khasawneh, that the Petroleum Company has contracted with international expertise firms to implement studies that included calculating the gas inventory (Gas initially in place (GIIP)) in the third phase, implemented by WesternGeco Schlumberger, reaching the final phase of the studies, which included initial estimates of the inventory from an accredited entity Reserve Certification & Auditing, and implemented by the French company Beicip Franlab. For his part, Al-Khasawneh stressed that the National Petroleum Company is following a clear plan to develop AL- Risha field with the aim of increasing its production capacity, which has reached 45 million cubic feet per day, part of which is being used at AL- Risha power plant, noting that Jordan's daily gas needs amount to about 340 million cubic feet per day, noting that the company's work plan for the years 2024-2029 aims to drill 70 wells, including 26 development wells to produce 150 million cubic feet per day in 2029.

The Minister of Energy explained that the National Petroleum Company is in the process of implementing a project to establish a gas pipeline from AL- Risha field to AL- Khanasri area with a length of 320 km, where the initial capacity of the pipeline is 150 million standard cubic feet per day as a first phase, subject to increase to become 500 million standard cubic feet per day in its second phase, which also requires years of work and capital expenditure.

Regarding the government's efforts to exploit the natural gas produced from the Risha field, he indicated that the government is working to accelerate its steps to complete the national program to deliver natural gas to cities and industrial areas in the Kingdom.

He stressed its importance in providing an alternative and less expensive source of energy for existing industries in the industrial areas (Rawda, Muwaqqar, Quweira, Mafraq, Qastal and Hashimiya) and enabling them to compete, open new markets and increase production by opening new production lines and providing more job opportunities for Jordanians.

The Minister of Energy noted the efforts made by the National Petroleum Company in conducting marketing studies to attract investments that depend on natural gas to maximize demand for gas produced from the field, absorb these quantities and work to diversify beneficiaries and attract investments and establish projects to compress and liquefy gas and transport it to gas-consuming industries.

The company also signed several gas delivery agreements with a number of companies, and signed memoranda of understanding with investors interested in investing in gas for use in the manufacturing, petrochemical and basalt industries at AL- Risha field.

The press conference was chaired by the Minister of Government Communication, Mohammed Al-Momani, in the presence of representatives of local and international media institutions.