Jordan to join Arab oil club

Russia will help Jordan to become an oil producing country. Under an agreement signed by President Medvedev in Amman, Russian companies have been given the green light to participate in prospecting for oil and gas and in developing oil and gas fields in Jordan.

Even though it sits on vast oil and gas reserves, Jordan has to import oil and gas, and not without political and transit-related risks at that. The bulk of oil comes from Saudi Arabia, the US’ major Arab satellite which has had to compromise on its oil producer status for America’s geopolitical interests on more than one occasion. Oil imports from Iraq account for 10 percent of Jordan’s needs but transportation in fuel tankers make them economically unviable and unsafe.

Apparently, Amman is more than interested in Russia’s participation in exploration efforts, which is bound to secure it a place in the Arab League’s oil producers club. Vladimir Isayev, an expert of the Institute of Oriental Studies, comments.

Arab nations see Russia as a major economic partner in the Middle East. As for Jordan, such a partnership is certain to improve its economic performance and rid it of oil dependence thereby making it a serious oil player in the Middle East. As the situation changes, Arab countries can turn to Russian, as well as American and other international companies, for production and transportation technology.

According to the General Director of the Energy Security Foundation Konstantin Simonov, Russia and Jordan are in for a new and promising area of bilateral cooperation.

As oil and gas grow in value, all countries are prospecting for fuel in the hope of developing their reserves and starting production. Russia is prepared to render support in the production and exploration efforts. After years of economic ties Jordan sees Russia as its much treasured partner. Of all of Russia’s Arab allies, Jordan is the closest. Naturally, Russia, a major oil and gas producer, is ready to help Jordan, particularly since Jordan has no oil and gas technology of its own.

Russia and Jordan may also cooperate in field and development projects in other countries. One of the potential cooperation projects is the development of gas fields on Jordan’s border with Iraq.

By Fedoruk Vladimir

The Voice of Russia, January 20, 2011