Ministry of Oil, Iraq - Iraq Strategic Crude Oil Export Pipeline: Najaf - Aqaba Pipeline
Iraq Ministry of Oil (MoO) is planning to undertake the construction of a Najaf â Aqaba Pipeline program from Iraq to Jordon.
The SCOP planned export schemes are from Basrah to Jordan, Syria, and Turkey.
Phase 1 of the SCOP Export plan, is the installation of a new crude oil export pipeline, from Basrah to the Port of Aqaba, in Jordan.
A 2.25 million BPD, 682km pipeline from Basrah (PS1A) to Najaf (K3) in the North of Iraq
A 1.0 million BPD, 1,000km pipeline from Najaf, Iraq to the Port of Aqaba, Jordan
The current profile includes the portion between Najaf to Aqaba
The US$2,833 million includes the following:
1. Laying of 1,000km crude oil pipeline with 42â diameter
2. Phase 1 (Laying of 350km crude oil pipeline Basra - Najaf, 2.25mb/d)
3. Construction of a new refinery
4. A branch tie-in to be provided to connect the pipeline to the Zarqa Refinery branch, with 1 million barrels of crude oil per day.
5. Two pump station
a. Near Zarqa refinery that includes 3 million barrel tank farm and associated facilities
b. Near Aqaba and including a 7 million barrel capacity tank farm with associated facilities
6. Four intermediate pump stations
a. Two in Iraq
b. Two in Jordan
7. The intermediate pumping stations will cover the pumps, electrical power generation, fuel gas treatment plant, flare system, sewage/waste treatment system, administration building, and accommodation facilities.
8. Outlet manifold and metering stations at PS5A (K3), Zarqa refinery branch, and the Port of Aqaba. The metering stations will include scraper launchers and receivers, a closed drain system, re-injection facilities a manifold with metering skids, and the related infrastructure including diesel power generation and buildings.
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08 March 2024
The project is still facing delays.
14 December 2023
The project is still facing delays due to financial and political issues.
08 September 2023
The project work is still facing delays due to financial and political issues.
04 July 2023
The project work is still facing delays due to financial and political issues.
24 April 2023
The project work is still facing delays due to financial and political issues.
19 January 2023
The project work is still facing delays due to financial and political issues and it is expected to be executed soon.
22 November 2022
The project work is still facing delays due to geopolitical issues in Iraq.
23 August 2022
The project work is still facing delays due to geopolitical issues in Iraq.
04 July 2022
The project work has been delayed due to security and political issues in Iraq.
20 April 2022
The ministry of oil announced that the project is still under technical study as they plan to reduce the budget to $8.5billion and it is also expected that the project will be an EPCF model instead of a BOOT. However, the roadmap for this project has not been signed by any party yet and will be moving ahead as per the next government elected.
28 March 2022
The Iraqi higher authorities have approved the project and the technical and legal teams are conducting necessary procedures to signed the framework agreement on the project.
11 January 2022
Technical talks are underway between Iraq and Jordan to construct the pipeline with a total cost of less than USD$9 billion.
13 October 2021
The client is discussing with potential developers to develop the project.
14 July 2021
Iraq and Jordan are negotiating to develop the project.
24 November 2020
We have not been able to obtain further updates on this project. We have retained the same project stage and amended the key dates accordingly. We will update the profile as soon as we obtain any new information.
19 August 2020
The client has extended the technical bid submission to an undisclosed date. According to market sources, the qualified companies requested two months extension due to the ongoing situation.
10 August 2020
The technical bid submission has been extended to August 16, 2020.
06 May 2020
The tender has been issued with the technical bid submission due on August 02, 2020, and the JV of CPPE & CPECC, Tekfen, and Hyundai Heavy Industries (HHI) amongst the few others are the pre-qualified companies.
03 December 2019
There is no development on the project due to finance issues.
22 August 2019
China unlikely to finance the Iraq-Jordan pipeline. Large Chinese contractors are expected to participate in the tender process, but are likely to seek support for financing from non-Chinese entities. (Source: MEED)
14 August 2019
The project is revived as the plan has been approved by the Iraqi cabinet and paves the way for a new tender process. The project will be re-tender and its timeline is unknown at this moment. (Source: MEED)
10 July 2019
The project continues to be on hold.
04 April 2019
The Jordanian Minister of Energy and Mineral Resources has completed its preparations for the construction of a pipeline and it will be resumed once they got approval from Iraqi Council of Ministers. Currently, the project continues to be on hold.
02 January 2019
The project has been put on hold and the time frame for revival is unknown.
13 November 2018
Jordan announced plans to develop a new refinery at port of Aqaba after the completion of crude oil pipeline project.
21 May 2018
The client is prioritizing the project and planning to build the oil pipeline first and the gas pipeline later. Significant delays of the project in the past have been approved by Jordan's cabinet in February 2018.
09 April 2018
The project is under implementation and there are preliminary approvals from the Iraq Ministry.
07 February 2018
The agreement between Iraq Ministry of Oil and Jordanâs Ministry of Energy and Mineral Resources is set to be signed.
07 August 2017
The client has decided to cancel the gas pipeline part which was supposed to run adjacent to the Basra-Aqaba oil pipeline project in order to lower costs and accelerate to complete the project. The oil pipeline project will start the construction works in Jordan by end 2017. The project will be executed by Mass Group Holding on BOT basis.
11 May 2017
The Iraqi cabinet has approved to award the crude oil pipeline from Najaf to Aqaba Port to Jordan's Mass company on Investment basis with $6 billion.
30 March 2017
The ministry has completed the technical studies on the project. The pipeline will be built in accordance with the build-operate-transfer system for a period of 15 to 20 years and then the tube will be owned by the two countries.
12 January 2017
Iraqi government will soon sign an agreement with Jordan government for the project.
22 December 2016
The client is in discussion with Chinese companies to finance the project. The tender is expected to be issued by Q2 2017.
01 December 2016
The pipeline project has been revived with a new route that has been designed to avoid territory which is controlled by militant group Islamic State in Iraq and Syria (Isis). The pipeline will now follow the original route up to the city of Najaf. (Source: MEED)
04 September 2016
The project continues to be on hold and the time frame for revival of the project is unknown.
23 June 2016
The project is currently on hold due to financial issues, however it is understood that the construction work is planned to commence by end 2016.
26 May 2016
The construction works on the project is expected to start by end 2016.
03 May 2016
The project is currently put on hold and time-frame for revival is not yet known.
24 April 2016
The consortium is now waiting for confirmation from client to enter into negotiations, and to reach financial close by the first half of 2017.
27 March 2016
The construction works on the project is expected to start by March 2017 and the completion is expected by 2020.
23 February 2016
China Petroleum Pipeline (CPP)/Mass Global JV are the preffered bidders of the project and will submit their investment to the ministry in March 2016.
16 November 2015
The talks are ongoing between Jordan and Iraq regarding the revival of the project.
21 October 2015
The project continues to be on hold due to civil unrest in the country. The time- frame for revival not known.
30 July 2015
The project continues to be on hold due to civil unrest in the country. The time- frame for revival not known.
28 May 2015
Due to civil unrest and political issues, the project continues to be on hold.
03 March 2015
Due to civil unrest and financial issues the project is still on hold. However, the client is negotiating with some investment companies for the implementation of the project but no deal has been signed so far in this regard.
25 November 2014
Due to the civil unrest & political issue, the project is still on hold. Any future news relating to the project will be updated accordingly.
14 October 2014
Due to civil unrest and political issues, the project still is on hold.
19 September 2014
Due to civil unrest and political issues, the project still on hold.
25 August 2014
Due to the civil unrest & security issue, the project is now on hold. Any future news relating to the project will be updated accordingly.
04 June 2014
The prequalified companies have submitted the technical bids for the project. However the bidding consortium's is still not finalized and the time frame is not known.
13 May 2014
The bidding consortiums is not yet finalized and the time frame is not known.
28 February 2014
Technical bids submission is on June 3, 2014, followed by commercial bids submission on July 20, 2014. Main contract award is expected in December 2014. Following companies are leading in consortium for the facility and they have until March 19, to finalise their bidding consortium: *China National Petroleum Corporation *Consolidated Contractors *Daewoo E&C *Marubeni Corporation *Mass Group Holding *Mitsui & Co *Orascom Construction Industries *Petrojet *ENI Saipem
17 February 2014
The Council of Ministers had formally approved the oil pipeline between Iraq and Jordan.
30 December 2013
Market sources indicate that the Iraq Oil Ministry has set out its timeline for technical and commercial bid submissions on the pipeline; a pre-bid clarification meeting is expected to be held on January 31 and the clarification periods will close at the end of March 2014.The technical bid submission deadline is due on May 15, followed by commercial proposals and bid bonds of $50m on June 30, 2014.
30 December 2013
Market sources indicate that the timeline for the projects' implementation is also planned; however, it is subject to the award date of the contract, basic designs set to be complete by October 2015, followed by a 34 month construction period, commissioning and testing is expected to take 3 months, the pipeline is expected to start its commercial operations by November 2018.
12 November 2013
Industry sources indicate that the tenders for the main contract have been issued to 12 shortlisted companies. Sources indicate that technical proposals are due to be submitted in March. No commercial deadline has been set.
09 October 2013
Industry sources indicate that a total of 12 international EPC consortia have now been officially shortlisted for the deal, but tenders are being held up pending approval from the Oil Ministry and the Jordanian government. A meeting will be held with the 12 qualified bidders to explain the bidding process shortly after the ITT issue. Assuming the tender is issued in October, bids are expected to be submitted within 6 months, taking the submission deadline to April 2014 at the earliest.
09 October 2013
Industry sources indicate that a build, own, operate, transfer (BOOT) agreement has also been finalised. This will be the first of its kind in Iraq, coupling construction with a 20-year operational concession. It requires the contractor to finance, construct, own and operate the pipeline, in consideration for an agreed service charge. After this period, pipeline ownership will transfer to a special purpose vehicle wholly owned by the Oil Ministry. The agreement will be put before the Iraqi parliament for approval once the Oil Ministry enters into negotiations with its preferred bidder, but before the scheme reaches financial close.
09 October 2013
Industry sources indicate that the tenders will be issued by end October. The delay is due to reasons unknown.
25 September 2013
Industry sources indicate that the tenders for the project are expected to be issued in early October 2013 with submission by end December 2013.
05 September 2013
Industry sources indicate that Iraq Ministry of Oil has shortlisted 12 international companies to build the oil export pipeline to Jordan. The ministry has chosen these companies from a list of more than 80 international firms which submitted their credentials. The short-listed companies and consortiums are: *Lukoil *China National Petroleum Corporation *Marubeni Corporation *Mitsui *Toyota Tsusho *Punj Lloyd and Mass Global International *Saipem *Daewoo International Corporation *Consolidated Contractors Company *Gulf Oil & Gas LLC, Larsen & Toubro (L&T) and Fius Capital *Petrofac and Stroygazconsulting (SGC) *Orascom and Petrojet
05 September 2013
As quoted in MEED article dtd September 06, 2013, State Company for Oil Projects (Scop) is expected to issue the main tender by September 20, 2013 and plans to receive bids in stages, with final priced proposals due by the middle of December 2013. The evaluation and selection of a preferred bidder is expected to be announced by December 31, 2013. Contract negotiations and financial close are planned for 2014.
13 August 2013
A prospective bidding company quoted that the tenders for the project have not been issued. Also the shortlisted companies have not been officially announced.
24 July 2013
As quoted in MEED article dtd July 24, 203, Iraqâs State Company for Oil Projects (SCOP) has shortlisted at least six engineering, procurement and construction (EPC) companies to bid for the construction of the proposed pipeline. The shortlisted companies list is awaiting approval from the Oil Ministry before an announcement of the prequalifiers will be made. The long awaited Iraq-Jordan pipeline is on schedule and is expected to be tendered in early August 2013.
24 July 2013
SCOP plans to receive bids in stages, with final priced proposals due by the middle of December. The evaluation and selection of a preferred bidder is expected to be announced by 31 December. Contract negotiations and financial close are planned for 2014, as quoted in MEED article dtd July 24, 2013.
02 July 2013
Industry sources indicate that MoO will start reviewing submitted PQ documents from July 3, 2013 and are expected to announce names of prequalified firms in a week or by July 13, 2013.
24 June 2013
As quoted in MEED article dtd June 23, 2013 State Company for Oil Projects (SCOP is expected to announce the prequalified firms by 15 July, with a tender planned for 30 July. Few delays are expecetd as work slows in the Holy month of Ramadan. According to SCOPâs schedule, bids will be submitted in stages with final priced proposals due by mid December 2013. The evaluation of bids and the selection of a preferred bidder is expected to be announced by December 31, 2013 . The negotiation of the projectâs contracts and financial close is planned for 2014.
30 April 2013
As quoted in MEED article dated April 29, 2013 the client Iraq Ministry of Oil has invited the engineering firms and financiers to prequalify for the project with deadline for submission of PQ documents on June 15 with main contract tenders to be floated by July 30. The selection of the preferred bidder is expected by December 31, 2013 following which the construction works will commence. The project is expected to be completed by 2016.
30 April 2013
The financial closure on the project is planned in 2014.
22 April 2013
Industry sources indicate that Jordan & Iraq has signed an agreement on April 15, 2013 for building a pipeline to export crude oil from Basra to Aqaba.
05 April 2013
Industry sources indicate that the Government of Jordan & Iraq is soon likely to sign an agreement for the implementation of the pipeline project.
14 March 2013
The project is expected a financial closure by November 2013.
07 March 2013
Coffey International Ltd had conducted the Environmental Impact Assessment studies on the project.
04 March 2013
FEED work on the project is ongoing and expected to get completed by June 2013.
04 March 2013
The Iraq portion of pipeline will be financed by the Iraqi government. The Iraqi and Jordanian governments will choose investors to fund, build and operate the remaining 1,000 kilometers inside Jordan.
26 February 2013
Industry sources indicate that Government of Jordan & Iraq are expected to sign commercial and legal agreements by February 2013. The construction tender is expected to be floated in March 2013.
11 February 2013
The project was earlier known as "Ministry of Oil - Crude Oil Export Pipeline".
11 February 2013
Iraq Ministry of Oil is seeking to begin courting investors for the project.
31 December 2012
Contract Type: *EPC Contract: From Basrah, the PS1A inlet collection point and pump station to Haditha, the K3 Pump Station, a distance of 680 km, with a 2.25 million bpd capacity *BOOT Project: From Haditha, the K3 Pump Station to the Port of Aqaba, in Jordan, approximately 1,000 km, with a 1 million bpd capacity.
01 October 2012
The government of Iraq is exploring export pipeline to Aqaba to substitute Syria pipeline.
24 September 2012
Iraq and Jordan have agreed to build a pipeline to supply Jordan with crude oil and natural gas. The pipeline would carry crude oil to the Jordanian refinery in Zarqa for use in Jordan, and to the port of Aqaba for export.
24 September 2012
The exact scope of proposed pipeline will be decided after a feasibility study has been carried out.