Amman, May 11 (Petra) – Minister of Energy and Mineral Resources Saleh Kharabsheh said on Monday that the company developing a green ammonia project spent about $10 million of $30 million allocated to the project before the agreement was signed yesterday.

The developer, Jordan Green Ammonia, leased land to conduct technical studies on solar energy in September 2024, culminating in a preliminary economic feasibility study in February, he said in press remarks.

On the capital of the firm the agreement was signed with, Kharabsheh said foreign consortiums investing in Jordan are required to register as local Jordanian companies, subject to Jordanian law, and the project's registered capital fits into international best practices with no minimum capital required.

He clarified that the registered capital is only for registration purposes and does not reflect the company's financial solvency.

"What's important to me today is that the company has brought along another company as its technical arm, one of the best in the hydrogen field from the Netherlands, and I signed contracts with them," the minister said, adding that he also signed contracts with Dar Al-Handasah to conduct environmental studies.

The contractual relationship with the company is based on leasing land of the state treasury or the Aqaba Special Economic Zone Authority, he pointed out.

The lease fee will be determined according to established procedures, and company will also pay an environmental fee for every cubic meter of water used to ensure it does not cause any potential environmental damage, he said. The lease agreement will be null and void if the company fails to implement the project, he added.

Kharabsheh said the signing of the green ammonia production investment agreement came after initial economic feasibility studies proved the viability of the project in Jordan.

"This type of project aligns with the government's vision for the future, and that Jordan aims to play a significant role in the future production and use of green fuels, becoming a regional hub for green energy production," he pointed out.

On involving private sector companies in such projects, Kharabsheh said the production process is left to the private sector, noting that such projects are undertaken by the private sector worldwide, not just in Jordan, as the private sector has the necessary expertise and funding capacity.

The government's role is to facilitate the company's efforts to produce green hydrogen, which the world now views as a fuel for the future, he said.

The minister also said the project will create job opportunities and increase the value of future exports, adding that the government will also have a share of the production.

He said Jordan began preparing a technical report in 2022 on the uses of green hydrogen and the country's existing capacity to attract the industry. The results were encouraging, he said, adding that the government subsequently contracted with an international consulting firm to develop the "National Green Hydrogen Strategy." The strategy is based on a phased approach to green hydrogen production, aiming to reach a production capacity of 3.5 million tons, said the minister.

He also said the Vocational Training Corporation started developing training programs for staff in various related processes, and that the German-Jordanian Energy Academy, hosted by Al Hussein Technical University, began developing programs in collaboration with the German Jordanian University.

//Petra//SS