Second Phase of Jordan-Iraq Electrical Interconnection to Be Completed in Q1 2025

A power station in Iraq. (Reuters)
A power station in Iraq. (Reuters)
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Second Phase of Jordan-Iraq Electrical Interconnection to Be Completed in Q1 2025

A power station in Iraq. (Reuters)
A power station in Iraq. (Reuters)

The 2023 annual report from Jordan’s Ministry of Energy and Mineral Resources said the second phase of the Jordan-Iraq electrical interconnection project is on track to be completed in the first quarter of 2025.

Work has commenced on civil and engineering tasks, including procuring materials, electrical breakers, transformers, and related infrastructure for the 400 kV transmission line, said the report that was released by the Jordan News Agency (Petra) on Monday.

Phase two of the project will involve supplying electricity to the Al-Qaim area in Iraq with a load capacity of 150-200 MW at 400 kV, following the completion of the 330 kV transmission line. The project also includes completing the electrical connection at Al-Qaim substation (132/400 kV) on the Iraqi side and constructing the Risha substation (132/33/400 kV) on the Jordanian side.

The project’s first phase, which became operational in the first quarter of this year, involved supplying electricity to the Al-Rutba area in Iraq at 132 kV, with a capacity of 40 MW. This phase required the construction of a 150 km transmission line on the Iraqi side.

The report also stressed that all technical and economic studies, as well as agreements related to the interconnection project with Saudi Arabia - such as the interconnection agreement, operational agreement, and commercial agreement - have been finalized.

Preliminary agreements have been signed with the Arab Fund for Economic and Social Development for loan and guarantee agreements amounting to 22 million Kuwaiti dinars (approximately $71.6 million) for the Jordan-Saudi Arabia interconnection project. Final agreements are pending to initiate the project.



Libya's Eastern Government Says All Oilfields to Close

A view shows Sharara oil field near Ubari, Libya, July 6, 2017. REUTERS/Aidan Lewis/File Photo Purchase Licensing Rights
A view shows Sharara oil field near Ubari, Libya, July 6, 2017. REUTERS/Aidan Lewis/File Photo Purchase Licensing Rights
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Libya's Eastern Government Says All Oilfields to Close

A view shows Sharara oil field near Ubari, Libya, July 6, 2017. REUTERS/Aidan Lewis/File Photo Purchase Licensing Rights
A view shows Sharara oil field near Ubari, Libya, July 6, 2017. REUTERS/Aidan Lewis/File Photo Purchase Licensing Rights

The government in eastern Libya announced on Monday that all oilfields would be closed down and production and exports halted, while there was no word from the country's internationally recognised government in Tripoli.

The National Oil Corp (NOC), which controls the country's oil resources, also provided no confirmation, according to Reuters.

NOC subsidiary Waha Oil Company, however, announced it planned to gradually reduce output and warned of a complete halt to production citing "protests and pressures".

Waha, which operates a joint venture with TotalEnergies and ConocoPhillips, has a production capacity of about 300,000 barrels per day (bpd) which is exported through the eastern port of Es Sider.

It operates five main fields in the southeast including Waha which produces more than 100,000 bpd as well as Gallo, Al-Fargh, Al-Samah and Al-Dhahra.

Most of Libya's oilfields are in the east, which is under the control of Khalifa Haftar who leads the Libyan National Army (LNA).

The Benghazi government did not specify for how long the oilfields could be closed.

Two engineers at Messla and Abu Attifel told Reuters on Monday that production was continuing and there had been no orders to halt output.

- POWER STRUGGLE

Libyan factions are locked in a power struggle over control of the central bank and the country's oil revenue.

The latest round of tensions emerged after efforts by political factions to oust the Central Bank of Libya (CBL) head Sadiq al-Kabir, with rival armed factions mobilising on each side.

The Tripoli-based CBL said on Monday that it suspended its services at home and abroad "due to exceptional disturbance".

The central bank is the only internationally recognized depository for Libyan oil revenue, which provide vital economic income for the country.

"The Central Bank of Libya hopes that its ongoing efforts in cooperation with all relevant authorities will allow it to resume its normal activity without further delay," it said in a statement.

It temporarily shut down all operations last week after a senior bank official was kidnapped but resumed operations the next day after the official was released.

A major oil producer, Libya has had little stability since a 2011 NATO-backed uprising. It split in 2014 with eastern and western factions that eventually drew in Russian and Turkish backing.

The NOC declared force majeure earlier this month at one of the country's largest oilfields, Sharara, located in Libya's southwest with a capacity of 300,000 bpd, due to protests.

Libya's oil production before Sharara's closure stood at about 1.2 million bpd.

El Feel in southwestern Libya would be the only functioning oilfield, with a capacity of 130,000 bpd, if production is halted in the east.