Basra to Aqaba Twin Pipeline

Scope Jordan approved an agreement with Iraq to build a twin oil and gas pipeline from Iraq’s city of Basra to Aqaba that will help to meet Jordan’s energy needs and generate revenues for both countries.

The 1,680 kilometer (1,044 mile) long twin pipeline will run from Iraq’s Basra on the Persian Gulf to Jordan’s Aqaba port, Jordan’s state-run Petra News Agency reported on Monday.

The framework agreement is set to be signed between the Iraq Ministry of Oil and Jordan’s Ministry of Energy and Mineral Resources.

The Iraqi oil ministry has repeatedly expressed "a keenness" for oil and gas agreements, as it rebuilds.

Iraq expects to pump 1 million barrels of oil per day (bpd) in addition to 258 million cubic-feet of gas.

Jordan requires 150,000 bpd to meet its energy needs and plans to export the remaining through Aqaba, generating approximately $3 billion dollars per year in revenues for the country.

Turaibil, the main border crossing between Iraq and Jordan reopened in August last year after two years of closure due to ISIS militants’ control of the area. Jordan hopes to revive exports to Iraq through the reopening of the crossing, which it calls Karameh.

Prior to the rise of ISIS, Iraq was the Kingdom’s main export market bringing in approximately $1.2 billion per year, according to International Monetary Fund statistics.

Iraqi troops pulled out of the Tureibil post in the summer of 2014 after ISIS swept through a third of the country and militants secured nearly all official border crossings in the west and southwest.

Jordanian exporters have been forced to use more expensive sea routes to Iraq’s Um Qasr port or land routes crossing Saudi Arabia and Kuwait.

The International Monetary Fund has said that the prolonged conflicts in Iraq and Syria were weighing on Jordan’s debt ridden economy and that the opening of export routes with Iraq would boost economic growth for both countries.

Announced
Fri 20th Apr
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Development Updates

Update Title	Description	Date
Aqaba Pipeline Project To Be Prioritised	The project to develop an export pipeline to the port of Aqaba in Jordan will be prioritised by the Iraq Oil Ministry following an rise in tensions within the region. The pipeline is planned to extend from Aqaba to an energy station in Najaf, Iraq, covering a total distance of around 350km. Original plans were for a twin pipeline to carry oil and gas separately however it is believed that the oil pipeline will now be developed initially, with the gas pipeline to be constructed in the next phase. The $3bn project will also include pump stations and was approved in February by Jordan's cabinet.	21/05/2018
03/01/2019 UPDATE	Iraq and Jordan have also agreed to finalize a framework agreement for the construction of an Iraqi-Jordanian pipeline connecting Basra to Aqaba in the first quarter of 2019.	03/01/2019
29/03/2019 UPDATE	Iraq Oil Minister Thamer Ghadhban has announced the completion of technical preparations for the extension of the country's oil pipeline to Aqaba port in Jordan, with the pipelines export capacity expected to reach 1 million barrels per day. The technical plans cover numerous elements of the project including funding, capacity, component and connections to oilfields in Kirkuk.	29/03/2019