Enefit consortium starts tendering process for Jordan oil shale fired power plant

Enefit together with its partners, YTL Power International Berhad of Malaysia and Near East Investments of Jordan, starts EPC tendering for Jordan's first direct burning oil shale fired power plant. The plant is due to come on line at the end of 2016.

The new power plant will have a capacity of approximately 460MW and will be located at the Attarat um Ghudran oil shale deposit approximately 100km south east of Amman.

Early this month Enefit reached agreement with the Jordanian Ministry of Energy and Mineral Resources and the National Electric Power Company on the terms of the project contracts which allows the tendering process for the main engineering, procurement and construction of the new power plant to commence. The tender will be completed by end of 2012 and the next stage of project development will be project financing in 2013.

The new power plant will have two oil shale-fired power units (2x 230MW) and will consume ca 8 million tonnes of oil shale per year. Using oil shale as energy source means a fundamental shift for Jordan on a road to become an energy-independent country and will deliver significant economic benefits to Jordan, including reducing the Kingdom's expenditure on the import of oil products for power generation by more than 500 million USD a year.

The Enefit consortium has conducted an extensive exploration programme and developed a mining plan and technical concept for the power plant since having been awarded a concession over the mining area in July 2010.

Additional information:
Enefit is the national energy company of Estonia. Enefit owns and operates some 2,000MW of direct oil shale fired mine-mouth power generation capacity and supplies electricity to some 500,000 customers. Enefit is currently constructing a further 300MW circulating fluidised bed power generation plant in Estonia which will be the most efficient and environmentally friendly oil shale fired power plant in the world. The new power plant is scheduled to be operational at the end of 2015.

Enefit is also one of the largest producers of (kerogen) shale oil in the world and has been engaged in oil shale processing for over 30 years. In 2010, Enefit commenced the construction of a new shale oil plant in Estonia, using a new generation Enefit-280 technology. The first new plant will be completed in 2012 and this will form the basis of the technology to be used in Jordan in a similar oil project in due course.

More than 1 billion tons of oil shale have been mined, nearly 200 million barrels of oil have been produced and more than 550TWh of electricity have been produced from oil shale in Estonia to date.

YTL Power International Berhad (YTLPI) is one of the largest companies listed on the Malaysian Stock Exchange. YTLPI owns and operates some 5,500MW of gas, oil and coal-fired power generation plants in Malaysia, Singapore and Indonesia and is an active trader of oil products in the Singapore market where it has approximately 1 million m3 of storage capacity. YTLPI also owns 100% of Wessex Water Services Limited, a water and sewerage services company that serves the south west of England in the UK and a one-third stake in ElectraNet S.A. which owns and operates the electricity transmission network in South Australia.

YTLPI is the utility subsidiary of YTL Corporation Berhad (YTL Corp), one of the largest groups in Malaysia with interests in construction, power, cement manufacturing, water and sewerage services, property development, hotel development and management, information technology and e-commerce initiatives, wireless communications and rail services. YTLPI reported Total Revenue of USD4.6 billion for the year ended 30 June 2011, Assets of USD11.1 billion and Net Profit of USD 394 million.

Near East Investment (NEI) is the holding company of Near East Group, founded in 1963 in Amman, Jordan. The Group's main focus is projects development, aviation, telecommunications, real estate and manages a diversified portfolio of assets. The aim is to be a global investment group that seeks, recognizes and participates in growing trends, and to contribute to society.

With the success of the company due to the favourable economic conditions and effective management between the 1960's to the 1980's it was deemed necessary to decentralize and establish other branches both in Jordan and abroad, add new lines. Thus, the Near East Group got to dealing in various fields and to represent a number of International and European companies.

Because of Jordan's geographical location and its close proximity and friendly relationship with the other Middle Eastern countries, the group has become a central business house for many customers since there is the advantage to detect the end-users requirement for their various needs.

In order to speed up communications and satisfy the customers need in a more efficient manner, in the 1980's the London office was established to deal with various European firms and at the same time the U.S. office was opened to become more or less the holding company of the group real estate properties.

The Near East Group also owns Ayla Aviation Academy which is based at King Hussein International Airport, Aqaba and the Atlantic Flight Training in Coventry/United Kingdom.

Marina Bachmann
Head of Communications for Electricity and Heat Generation
71 52 210
56 456 600
[email protected]