UAE, Egypt, Jordan Sign Industrial Partnership in 5 Sectors for Sustainable Economic Growth

Part of the signing event of the integrated Industrial Partnership for Sustainable Economic Growth in Abu Dhabi on Sunday, May 29, 2022. (WAM)
Part of the signing event of the integrated Industrial Partnership for Sustainable Economic Growth in Abu Dhabi on Sunday, May 29, 2022. (WAM)
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UAE, Egypt, Jordan Sign Industrial Partnership in 5 Sectors for Sustainable Economic Growth

Part of the signing event of the integrated Industrial Partnership for Sustainable Economic Growth in Abu Dhabi on Sunday, May 29, 2022. (WAM)
Part of the signing event of the integrated Industrial Partnership for Sustainable Economic Growth in Abu Dhabi on Sunday, May 29, 2022. (WAM)

The United Arab Emirates, Egypt and Jordan announced on Sunday an integrated Industrial Partnership for Sustainable Economic Growth in Abu Dhabi.

The partnership agreement aims to unlock new industrial opportunities and enhance sustainable economic growth in the three countries, across five promising industrial sectors, namely food and agriculture, fertilizers, pharmaceuticals, textiles, minerals, and petrochemicals.

In order to accelerate the partnership objectives, a $10 billion investment fund has been allocated and will be managed by Abu Dhabi state holding firm ADQ.

The UAE Minister of Industry and Advanced Technology, Dr. Sultan bin Ahmed Al Jaber, Egyptian Minister of Industry and Trade Dr. Nevein Gamea, and Jordan’s Minister of Industry, Trade and Supply Yousef al-Shamali signed the partnership agreement.

Egyptian and Jordanian Prime Ministers Mostafa Madbouly and Dr. Bisher al- Khasawneh attended the signing event, along with UAE’s Deputy Prime Minister and Minister of Presidential Affairs Sheikh Mansour bin Zayed Al Nahyan.

Sheikh Mansour said the partnership reflects President Sheikh Mohamed bin Zayed Al Nahyan’s vision to enhance industrial integration with Arab and world countries for the UAE to be able to achieve a major leap in the industrial sector to become an economic driver.

“Industry is the backbone of the world’s largest economies. Through its capabilities, effective policies and current focus on developing advanced technology and logistics infrastructure, we are confident that the UAE can build a global economic powerhouse by leveraging industrial partnerships across the region.”

He pointed out that advancing the industrial sector in the three countries will help boost and diversify their economy and increase the industry’s contribution to the national GDP.

This partnership further affirms the three countries’ ability to bolster their ties and introduce new projects and industries within an integrated industrial ecosystem, while unlocking promising opportunities for future generations.

According to the information obtained, Abu Dhabi, Cairo and Amman have diverse resources and unique competitive advantages, including access to raw materials.

They enjoy robust capabilities in the pharmaceutical industries, with clear ambition to develop and expand them further and increase their production capacity.

They also wish to strengthen manufacturing capabilities in the steel, aluminum, petrochemicals and derivatives sectors.

Their combined industrial capacity represents around 26% of the total industrial capacity of the MENA region.

They also enjoy a highly developed logistical infrastructure, including airports, ports and strategic transport corridors such as the Suez Canal, major companies with distinct capabilities in the partnership’s focus areas, as well as access to capital and smart financing solutions.

Almost half the total population of the partner countries comprising 122 million people are young and represent both a large market and an emerging workforce.

Khasawneh said that the partnership is an evidence of the depth of the historic ties among the three countries, noting that it enhances integration, protects supply chains, empowers import substitution, and promotes sustainable economic development, resulting in economic growth, job creation and other benefits.

“The continued active interaction and coordination at the leadership level affirms the strong political and economic ties.”

He revealed that the industrial sector in Jordan contributes to 24% of the GDP and accounts for 21% of the country’s workforce.

Jordan exports to many countries around the world and is empowered by supportive laws and regulations.

Madbouly, for his part, said the pandemic and the Russian-Ukrainian crises underlined the importance of this integration to achieve the interests of the three countries’ peoples, adding that it could become the cornerstone for a stronger and broader cooperation among Arabs.

He stressed that the current regional and international conditions make it imperative for Arab countries to maximize opportunities for integration, especially since each country has its unique competitive advantage and capabilities.

The projects that have been agreed upon will create an added value for the three countries and will have a positive impact on national security, local industry, and supply chain activities, the PM noted.



Iraq to Sign Deal with Halliburton to Develop Nahr Bin Omar Oilfield

Participants observe a presentation at Halliburton's booth at the World Petroleum Congress in Houston, Texas, US December 7, 2021. REUTERS/Liz Hampton/File Photo
Participants observe a presentation at Halliburton's booth at the World Petroleum Congress in Houston, Texas, US December 7, 2021. REUTERS/Liz Hampton/File Photo
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Iraq to Sign Deal with Halliburton to Develop Nahr Bin Omar Oilfield

Participants observe a presentation at Halliburton's booth at the World Petroleum Congress in Houston, Texas, US December 7, 2021. REUTERS/Liz Hampton/File Photo
Participants observe a presentation at Halliburton's booth at the World Petroleum Congress in Houston, Texas, US December 7, 2021. REUTERS/Liz Hampton/File Photo

Iraq and US oil services firm Halliburton are close to finalizing an agreement to develop the Nahr Bin Omar oilfield, the head of Iraq's Basra Oil Company (BOC) told Reuters on Thursday.

Bassem Abdul Karim, director general of state-run BOC, said Iraq's oil ministry and Halliburton are expected to sign a confidentiality agreement in the coming days, after which Iraq will provide Halliburton with data on the Nahr Bin Omar field and its installations.

Under the deal, Halliburton will help Iraq in increasing production at the field to 300,000 barrels per day (bpd), Abdul Karim said, though he did not specify a timeline. The field currently produces around 50,000 bpd, Reuters reported.

"Halliburton will also help Iraq to produce 300 million cubic feet of gas from the field", said Abul Karim.

Abdul Karim said oil production at the West Qurna 1 field, operated by PetroChina in southern Iraq, is expected to reach 750,000 bpd by the end of 2025, up from the current 550,000 bpd. PetroChina holds the largest stake in the field following Exxon's exit.

To reduce its gas import bill, Iraq has selected China Petroleum Engineering & Construction Corporation (CPECC) to develop a $1.7 billion gas project at the Nahr Bin Omar field, which will produce 300 million standard cubic feet (mscf) of gas, according to the BOC manager.

"We are in talks with CPECC to reduce the project's cost, and final signing is imminent," he said.

Asked about the impact of the latest sanctions targeting Russia on the global crude supplies and if Iraq is ready to lift production, Abdul Karim said Iraq has the capacity to increase its oil production by 200,000 barrels per day (bpd) immediately if asked by OPEC.

Iraq's oil exports from its southern ports averaged 3.232 million bpd in December, he added.