Amman: Minister of Energy and Mineral Resources Saleh Kharabsheh announced that the company developing a green ammonia project expended approximately $10 million out of the $30 million allocated to the project prior to the agreement signing. The announcement came after the agreement was finalized yesterday.
According to Jordan News Agency, the developer, Jordan Green Ammonia, secured land to perform technical studies on solar energy in September 2024, which led to a preliminary economic feasibility study in February. Kharabsheh stated that foreign consortiums investing in Jordan must register as local Jordanian companies, adhering to Jordanian law. The project's registered capital aligns with international best practices, with no required minimum capital.
Kharabsheh clarified that the registered capital is solely for registration purposes and does not indicate the company's financial health. He emphasized the importance of the company partnering with a reputable technical arm from the Netherlands, known for expertise in the hydrogen field, and confirmed contracts with them as well as with Dar Al-Handasah for environmental studies.
The contractual relationship involves leasing land from the state treasury or the Aqaba Special Economic Zone Authority. Lease fees will follow established procedures, and the company must pay an environmental fee for water usage to prevent potential environmental harm. Failure to implement the project will nullify the lease agreement.
Kharabsheh highlighted that the green ammonia investment agreement followed feasibility studies confirming the project's viability in Jordan. He noted the government's vision for Jordan to become a regional hub for green energy production, playing a significant role in future green fuel production and use.
The minister emphasized the private sector's role in such projects, as they possess the expertise and funding capacity needed. The government facilitates efforts to produce green hydrogen, now seen as a future fuel, while the project is expected to create job opportunities and increase export value, with the government also having a production share.
Kharabsheh mentioned that Jordan began a technical report in 2022 on green hydrogen uses and capacity, which yielded encouraging results. This led to contracting with an international consulting firm to develop the "National Green Hydrogen Strategy," aiming for a production capacity of 3.5 million tons, using a phased approach.
Additionally, the Vocational Training Corporation is developing training programs for related processes, and the German-Jordanian Energy Academy, at Al Hussein Technical University, is collaborating with the German Jordanian University to develop relevant programs.