Agreement expands Madouneh liquefied gas storage capacity

AMMAN — The Jordan logistics company for oil facilities and the consortium of OHL Industrial and MID Contracting Company on Tuesday signed a contract addendum to build three additional reservoirs for liquefied gas in Madouneh with a value of $30.6 million.

The agreement, signed in the presence of Energy Minister Hala Zawati, aims at expanding the capacity of the stored quantities of oil derivatives in Madouneh, which is financed by an Emirati grant of $220 million, the Jordan News Agency, Petra, reported. 

Zawati noted that amendments to the agreements will raise the number of liquefied gas reservoirs to eight, and its storage capacity from 10,000 tonnes to 16,000 tonnes, adding that the storage capacity in Madouneh will provide reserves of diesel, gasoline and airplane fuel of some 340,000 tonnes, which will enhance the Kingdom’s energy security.

She praised the UAE role in funding the project with $210 million as part of the Gulf grant to the Kingdom through the Abu Dhabi Fund for Development.

During her visit, Zawati toured the scheme that includes six reservoirs for diesel with a total capacity of 204,000 tonnes, four reservoirs for unleaded 90-octane gasoline, with a total capacity of 136,000 tonnes, two reservoirs for unleaded 95-octane gasoline, with a total capacity of 36,000 tonnes, according to Petra. 

The venue also includes two reservoirs for airplane fuel with a total capacity of 44,000 tonnes, and five reservoirs for liquefied gas whose overall capacity is 10,000 tonnes, in addition to the new three reservoirs.

The project of the storage capacities is expected to conclude by the end of the month, while the construction of the new three reservoirs will require 28 months.

Ghaleb Mabrah, chairman of the Jordan logistics company, said that the project is part of the national strategy for the energy sector, which stipulates ensuring strategic reserves of oil derivatives, noting that the company implements the government policy in finding storage capacity that can meet the Kingdom’s needs of oil derivatives for 60 days, and avoid any interruptions that may result from unexpected circumstances.