Jordan Needs Partners

Jordan Needs Partners

Jordan has invited partners to invest in its first nuclear power project expected to be completed in 2022

Jordanian investors will contribute around 30 per cent of the project’s cost of nearly 7 billion Jordanian dinars ($10 billion) while the remaining funds will be secured through bank loans, Arabic daily Al-Rai said, quoting Khalid Toukan, Chairman of Jordan Atomic Energy Commission (JAEC).

Jordan will secure $1.5 billion and Russia will do the same.

A majority of this funding will go for the building of the plant, which will be awarded to Jordanian companies, said Toukan.

Jordan has reached a deal with Rosatom State Nuclear Energy Corporation under which Russia will provide enriched nuclear fuel for the reactors for the first 10 years after which Jordan has the option of buying nuclear fuel from Russia or any other market.

“At the end of this month, we will appoint an international consultant to help attract foreign partners. Jordan’s share will be reduced to 26 per cent,” he said.

He said JAEC has received nine offers from global firms expressing interest in funding the project.

“We expect to receive bids from Chinese, Czech, Japanese and American companies by this summer,” Toukan said

“We are analyzing these offers and negotiating with those companies to select the best technically. We are seeking the best funding terms for the project,” he added.

Toukan said JAEC and its Russian partner Rosatom have invited bids for the construction of turbines and power systems for the nuclear plant. The exact cost of the project will be determined by summer when all bids are received.

In March 2015, Jordan signed an inter-governmental agreement with Russia to build and operate the nuclear power plant. Russia’s Rosatom will own 49 per cent of the project.

Toukan announced that Jordanian teams have managed to develop the yellow cake necessary to fuel the nuclear power plant.

The two reactors will have a total capacity of 2,000 megawatts.

The Kingdom’s central region is home to 40,000 metric tonnes of uranium, which has enough yellow cake to supply Jordan for 150 years, he said.

The volume of the reserve is expected to increase as excavation works are ongoing.

Jordan will soon be capable of producing 800 to 1,000 metric tonnes of yellow cake annually, of which the two planned reactors will need 400 metric tonnes, while the rest will be exported, according to JAEC.

To generate 2,000 megawatts of electricity by using heavy fuel, Jordan spends annually $2 billion, while only 400 tonnes of yellow cake will be enough to generate this volume via the reactors.

“This is a local energy source that will boost our energy independence,” Toukan said.

Meanwhile, the JAEC chairman said a JD30 million deal will be signed with Saudi Arabia for the extraction and development of uranium resources.

The agreement, which will be signed in the upcoming months, will entail exchanging expertise in this regard.

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Arnaud Lefevre

Arnaud Lefevre is the Chief Executive Officer of Dynatom International. Arnaud is in charge of the international development of the business portfolio.