Golden Spike to sign gas accord with Jordan?s NPC

Oil and gas firm Golden Spike Energy Indonesia Ltd will soon sign an agreement worth US$98 million with Jordan?s state-owned energy firm National Petroleum Company (NPC) to explore for natural gas in the still untapped southern part of the country, Jordan Times reported.

?NPC expects to sign the agreement after the government issues and publishes the law in the official gazette,? the newspaper quoted NPC officials as saying on Monday.

Golden Spike expects to raise gas production to around 150 million cubic feet per day to generate around 400 megawatts, according to the officials.

NPC officials also said on Monday Jordan will next month issue a new law to allow international firms to explore for and produce gas in the Risheh field, along the country?s eastern border with Iraq.

NPC has since 1996 had a concession agreement to exclusively explore for and produce gas in the 1,500 sq. km field. ?But, according to the new law, the concession agreement will be amended to permit international firms to explore for gas in the field,? the officials said.

NPC currently produces around 30 million cubic feet of gas per day in the northern side of the Risheh field, producing 90 megawatts, around 11- 13 per cent of the Jordan?s electricity needs.

The gas reserves in the Risheh field are expected to continue covering part of Jordan's energy needs for at least 20 to 30 years. (*)