AMMAN, 7 April 2003 — The Jordanian Ministry of Energy has refused to comment on a report in the Middle East Economic Survey (MEES) stating that Saudi Arabia and Kuwait will supply Jordan with three months’ worth of crude oil for free as a form of government aid.
According to a high ranking government official here who spoke to Arab News on condition of anonymity, “Jordan has to date not received any crude oil shipments from Saudi Arabia or Kuwait. But we are in negotiations with fellow Arab states on the subject of providing Jordan with necessary oil supplies”.
Jordan was wholly dependent on Iraq for its oil before the war broke out, which was delivered daily across the border by a fleet of 600 tanker trucks. Half came free, and the other half at preferential rates.
However, Amman suspended Iraqi oil imports for security reasons on March 23, three days after the war was launched on Iraq to topple President Saddam Hussein.
Jordan is currently surviving on reserves stored in two tankers at Aqaba for its energy requirements.
“The deal has been agreed for a three-month period. By receiving 75,000 bpd of oil free of charge, Jordan will be saving $170 million, based on an average market price of $25 a barrel,” the MEES adds, quoting authoritative sources.
The MEES also reported last week that Jordan would be paying for the crude at the full market rate, having failed to secure it at a discount price.
