Egypt and Jordan conclude gas pipeline accord
A preliminary accord has been involving the construction of an overland pipeline to carry natural gas from the Egyptian gas terminal in El-Arish on the Mediterranean coast, across the Sinai Desert to the Jordanian town of Aqaba on the Red Sea, reported a representative of the Egyptian oil ministry.
The accord was signed in Cairo on Tuesday, May 29, by Egyptian Oil Minister Sameh Fahmy and Jordan's Energy Minister Wael Sabri.
The El-Arish-Aqaba pipeline will constitute the first stage in a $1 billion project involving Egypt, Lebanon, Jordan and Syria to export Egyptian natural gas to markets in the Middle East and Europe through two pipelines.
Speaking to Dow Jones Newswires, Hamdi Abdelaziz of the Egyptian oil ministry said that Egypt-based Middle East Gas Company and a number of other undisclosed firms would build the El-Arish-Aqaba pipeline within the coming 18 months.
Abdelaziz noted that the original plan had been to build an underground pipeline from El-Arish to the northern Lebanese town of Tripoli, but it was discovered that $300 million could be saved if the pipeline was built overland, first to Aqaba, and then to Tripoli via Syria. – (MENA Report)
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