Economic and Business news

[yazm1991]

Originally Posted by yazm1991

JCCA chief sees ‘major’ decline in business activity in 2010

not great news for Jordan. Hopefully some new investments can be announced soon.

[yazm1991]

Real estate prices expected to rise with falling dollar - experts

AMMAN –– Experts expect prices of residential apartments to rebound after a drop in their values this year due to the slowdown in the market.

Zuhair Omari, president of the Housing Investors Society, based his expectations on the decline in the US dollar exchange rate against the euro, which consequently affects the Jordanian dinar as it is pegged to the dollar.

“Construction material costs will increase because they are imported mainly from European markets,” he noted, adding that the cost of developing housing projects will also rise.

Economic expert Ali Tabbalat believes real estate prices are most likely to increase in mid-2010 if the value of the US dollar continues to decrease.

“The prices of residential apartments should be based on supply over demand criteria and not the value of the dinar,” Tabbalat said, noting that there is a slowdown in the market as supply is larger than demand.

According to investors in the market, demand on residential apartments increased during the past few months as buyers have benefited from a government decision, which is only valid until the end of this year, to exempt more apartments from registration fees upon purchase.

In May, the Cabinet decided to widen the exemption on the first 120 square metres of apartments sized 150 sq.m. or less, to apartments sized 300 sq.m. or less.

“The decision helped the sector recover, particularly in the third quarter of this year as buyers did not want to miss the opportunity to benefit from the exemption,” Omari said.

He told The Jordan Times on Thursday that the decision, which applies only to Jordanians, saved buyers an average of JD4,000 per apartment.

Mohammad Shobaki, marketing manager of Edraj Real Estate Company, agreed with Omari, noting that the number of clients has increased recently, particularly during the period when Jordanian expatriates were visiting the Kingdom.

Stating that the current cost of apartments is realistic, Omari indicated that prices of residential apartments this year have remained steady at about 15 per cent below last year's.

“There is great competition in the real estate market as there are around 1,000 housing companies operating in the sector,” he noted.

However, Shobaki explained that the slight drop in property value, between 5 and 15 per cent, was less than expected when compared with the slowdown the sector underwent this year.

According to Nabil Hindi from the Abdoun Real Estate Company, demand was higher on rentals than sales despite the drop in apartment prices during the summer when expatriates return to Jordan.

A recent study conducted by Asteco, a regional and international real estate services firm, indicated that demand for rental properties was stable during the third quarter of 2009, compared with a 7 per cent drop during first and second quarters of this year.

Average rental rates decreased from JD2,400 to JD2,350 per year in most areas of Amman, while the most expensive area was Abdoun, with rents averaging JD6,475 per annum, the report showed.

The study indicated that the rental market for office space continues to see decreases, with annual rents ranging between JD90 and JD135 per square metre.

[MARTYR]

New strategy to address negative economic indicators


25 October 2009
AMMAN (JT) - Prime Minister Nader Dahabi on Saturday directed the government's economic team to study the causes behind the downward trend of some economic indicators.


Chairing a meeting of the economic team, including the ministers of planning and international cooperation, industry and trade, transport, energy, and labour as well as other concerned parties, the premier also directed the team to draw up proposed solutions to improve these indicators.


Participants focused during the meeting on the progress of the transport sector, macroeconomic indicators and the national employment draft strategy.


Some of the macroeconomic indicators have been improving while others have regressed, the team explained.


Positive economic indicators were evident in the drop of the trade deficit as a result of a decrease in the volume of imported goods and an increase in foreign reserves. The team also cited the increase in tourism sector revenues as well as the improved conditions of credit facilities as positive economic indicators.


Regression, however, has been evident in the figures on national exports and expatriates' remittances as well as in the increase recorded in the budget deficit.


Minister of Transport Sahel Majali emphasised the sector's plans to restructure under one umbrella to regulate public transport and the movement of passengers and goods as well as rail transportation.


Underlining the importance of land transport services, he said the Kingdom's land transport strategy has been based on transforming Jordan into a regional logistic hub for transportation and trade.


During the meeting, the minister highlighted the timetable for establishing the planned railway network, which seeks to connect Jordan and other neighbouring countries. He stated that the public transport master plan will provide advanced, modern and efficient means of transport at a reasonable cost.


On employment, José Manuel Salazar-Xirinachs, executive director of the employment sector at the International Labour Organisation (ILO), briefed attendees on the national employment draft strategy, underlining the need to invest further in economic activities that require large quantities of manpower and enhance the capabilities of Jordanian human resources.




Prepared in cooperation between the Ministry of Labour and the ILO, the draft strategy is based on linking economic policies to employment, liberalising trade and providing jobs, according to the ILO official.


At the end of discussions, participants agreed on the formation of a ministerial committee to follow up on the strategy's implementation. It was agreed to form a technical committee to draw up a work plan and timetable.


Economic indicators


* Jordan's budget deficit climbed to JD763.2 million in the first eight months of this year.


* Remittances from Jordanians working abroad dropped by 3.7 per cent to JD1.48 billion in the first seven months of this year, compared with JD1.53 billion registered during the same period last year.


* The Kingdom's total exports reached JD3.02 billion in the January-August period, down 19.1 per cent from last year.


* Jordan's trade deficit narrowed 23.5 per cent to JD3.49 billion from January to August, against the same period in 2008, due to a lower bill for imported Saudi oil.


* Tourism revenues between January and September this year stood at JD1.559 billion compared with JD1.569 billion in the same period of 2008.


* The gross domestic product (GDP) grew by 2.8 per cent during the second quarter of this year, reaching JD3,985.8 million in fixed market prices, compared to the same quarter last year when it stood at JD3,675.3 million.

[MARTYR]

Amman Stock Exchange

25 October 2009
AMMAN - The general index of Amman Stock Exchange (ASE) closed last week at 2,634.4 points, 0.9 per cent lower than the closing at the end of the previous week. The drop was due to falling share prices of strategic companies in the banking sector, especially the heavyweight Arab Bank stock which closed at JD13.00 registering a decline of 4.8 per cent compared to its closing level in the previous week. On Thursday, the trading volume on Arab Bank shares reached JD2.9 million.


We expect the ASE index to fluctuate within a narrow price range this week as investors begin building new positions in shares of selected companies based on their expectations for third quarter results.


All sector indices regressed with real estate posting the largest loss of 2.4 per cent followed by the diversified financial services and industrial sectors which declined by 2.3 per cent and 1.2 per cent respectively.


As for trading activity, 121.5 million shares exchanged hands leaving gains at 68 companies and losses at 105 entities out of 199 tradded corporations.


In terms of value traded by sector, real estate came in first place accounting for 29.5 per cent of the total followed by the services sector with 21.9 per cent and then the diversified financial services which accounted for 21 per cent of the total value traded last week.


The most actively traded share were those of Arab Corp., Ad Dulayl Industrial Park and Taameer Jordan Holdings with a combined value traded of JD17.6 million accounting for 11.9 per cent of total value traded.


Several block deals were executed last week, most significantly were shares of Arab Corp., Al Ahlia Enterprises and Jordan Ceramic Factories with transaction values amounting to JD3.1 million JD2.8 million and JD2.2 million respectively.


Cairo Amman Bank disclosed a profit of JD18.3 million at the end of this year's third quarter compared to JD17.6 million during the same period last year, an increase of four per cent.


Union Advanced Industries announced a profit of JD0.7 million at the end of September 2009 compared to JD0.6 million at the end of September 2008.


Arab Orient Insurance posted a net profit of JD2.1 million compared during the first nine months of 2009 to JD1.9 million during the same period of last year.


Petra Educational Company declared a net profit of JD2.4 million at the end of the third quarter 2009, 270.3 per cent higher than the JD0.64 million during the same period last year.


Jordan Real Estate Company for Development announced a loss of JD0.04 million during the first nine months of 2009 compared to a profit of JD5.6 million during the same period of 2008.


The Jordan Securities Commission (JSC) approved the listing of five million new shares in the paid-up capital of Arab International Hotels (AIHO) at par value plus an issuance premium of JD0.25.


The Kingdom's exports to countries of North American Free Trade Agreement (NAFTA) have declined by 16.8 per cent during the first eight months of this year to JD418.1 million compared to JD502.8 million in same period last year.


According to data released by the Central Bank of Jordan, tourism income during August 2009 declined by 15.2 per cent to JD260 million compared to JD308 million during the same month in 2008.


Disclaimer: The above information and opinions have been compiled in good faith from sources believed to be reliable, but Capital Investments makes no warranty as to the truth and accuracy of the information contained herein. All opinions expressed are not to be regarded as investment advice, and are only for informative purposes. Therefore, Capital Investments accepts no liability whatsoever for any loss of any kind arising out of the use of all or any part of this report.

[MARTYR]

Jordan start-ups need tax incentives and support

Jordan needs to ensure that it provides ample support to the technology start-ups besides introducing friendly tax structures for the firms that are already operating.

The CEO of an Amman-based company said these steps are essential if Jordan wants to emerge as a software hub in the Middle East.

"We have potential particularly with the strong IT manpower we have. We export so many enginners to the developed countries every year. There is cetainly a potential for Jordan becoming a much larger centre for software export than what it is," said Sameh Aloul, CEO and Managing Director of ManafSoft.

Amman and Cairo jostle for being called the software hub of the Middle East.

Cairo has over the past few years taken over Jordan on the back of incentives that the Egyptian Government has provided to support its own companies and attract foreign majors.

Aloul's comments echo the statements made by Jordan's IT professionals.

A presentation from the Jordanian Information Technology Assocaition (ITA) called upon the government to "reduce indirect tax burden" and adopt "competitive taxation policies". It also called upon the Jordanian Government to "attract/create venture capital funds" and to "promote R&D through creating a special fund".

Foreign software developent majors have so far eluded Jordan and attracting them should be a priority for the Jordanian Government, the report said.

"There is a lack of finance for start-ups and this has been hindering the growth of the Jordanian software sector," Aloul said.

"It's difficult for young to set up a company. A relative easy financing in the US and India has provided the impetus to the companies there," said a Jordanian engineer.

By Shashank Shekhar

[MARTYR]

Jordan Islamic Bank Posts Profit after Tax of US$ 32.7 million as at the End of September 2009

Manama , 28 October 2009 : Jordan Islamic Bank (JIB) , a subsidiary-banking unit of the Bahrain-based Al Baraka Banking Group B.S.C., announced its financial results for the third quarter of the current year.

Mr. Adnan Ahmed Yousif, Chairman of the Board of Directors of JIB and President & Chief Executive of Al Baraka Banking Group, said that "We are proud of the successes achieved by the Bank in the thirty years since it commenced its Islamic banking operations as it enhanced its capital base by finalizing the formalities to raise its capital from US$ 114.6 million (114.6 million shares) to US$ 141 million (141 million shares) by distributing bonus shares to its shareholders. The shareholders' equity had increased to about US$ 242.6 million as at the end of the third quarter of this year compared to about US$ 227.1 million as at 31 December 2008, a growth of 7%.

Stressing the success of JIB in enriching the experiment of Islamic banking in the Jordanian, Arab and global market, Mr. Yousif said that "the excellent results achieved by the bank coincide in time with the bank receiving in this month the 2009 Award of Best Islamic Financial Institution in Jordan from the US magazine "Global Finance" for its contribution towards growing Islamic finance and meeting the needs of its customers, which made it one of the leading Islamic banks". The award giving ceremony was held in Istanbul, Turkey, at the same time as the Annual Meetings of the International Monetary Fund and World Bank which were held there.

On his part, Vice Chairman of the Board of Directors and Chief Executive Officer of JIB Mr. Musa Abdul Aziz Shihadeh said that the Bank had achieved a net profit after tax of about US$ 32.7 million during the period up to 30 September 2009.

The total assets of the bank, including the managed accounts (restricted investment accounts, Muqarada bonds and investment by proxy accounts) amounted to about US$ 3.368 billion as at 30 September 2009 up from US$ 3.061 billion as at the end of 2008, a growth of 10%, which reflects the continued progress and growth of the Bank in consolidating its position in the Jordanian banking sector.

Likewise, customer deposits increased at the end of the third quarter of this year by about US$ 358 million to reach US$ 2.543 billion dollars against US$ 2.185 billion dollars as at 31 December 2008, a growth of 16.4%.

Customer deposits, including the managed accounts (restricted investment accounts, Muqarada bonds and investment by proxy accounts) amounted to about US$ 2.917 billion as at 30 September 2009 compared to US$ 2.595 billion as at 31 December 2008, a growth of 12.4%.

Mr. Shihadeh added that the increase in facilities granted to customers as at the end of the third quarter of this year had increase by about US$ 169.8 million to reach about US$ 1.755 billion compared to US$ 1.585 billion as at the end of 2008, a growth of 10.7%. This comes in line with the directives of the Central Bank of Jordan to banks to continue extend credit facilities to customers. The financial indicators of the Bank showed that the after tax earnings per share as at 30 September 2009 were about 23.2%.

Mr. Shihadeh affirmed that the Bank would continue to enhance the experiment of Islamic banking by showing that the Sharia law was able to deal effectively with the realities of today, while at the same the Bank fully complied with the laws, legislation, rules, regulations, instructions, practices and methods of control and inspection that apply to banks in the Kingdom of Jordan. The bank also sought to develop and enshrine in its culture the principles of corporate governance, develop risk management and continue to implement the requirements of Basel II.

[MARTYR]

Syria removes restriction on Jordanian drugs

28 October 2009
AMMAN - Syria agreed late Monday to register Jordan-manufactured medicines even if alternatives are available there, a Jordanian official said.


According to Mohammad Rawashdeh, the director of Jordan Food and Drug Administration (JFDA), Damascus previously did not allow the registration of Jordanian medicines if there was an alternative in Syria.


The JFDA director described the registration of Jordanian medicine in Syria as difficult because “their labs lack capabilities for analysing the effectiveness and validity of medicines”.


“This deal came as part of the Jordanian- Syrian technical committee’s meetings to facilitate the registration of Jordan- and Syria-made pharmaceuticals in each other’s markets,” Rawashdeh told The Jordan Times, noting that Amman also agreed to register Syrian drugs in Jordan in accordance with JFDA regulations.


Last month, both countries decided to form the technical committee to discuss mechanisms to remove all obstacles related to registering medicines in Jordan and Syria.


Rawashdeh said the Kingdom’s pharmaceutical companies export medicines to 65 countries around the world, but have “weak sales” in the Syrian market, noting that both parties agreed to study prices of Jordanian medicines that were referred to as “expensive” by Syria.


He indicated that currently there are 30 types of Syrian drugs approved for the Jordanian market.


Jordanian pharmaceutical companies annually export 75 per cent of their output, according to the Jordanian Association of Pharmaceutical Manufacturers and Medical Appliances.


The sector’s revenues stood at $490 million in 2008 compared with $432 million in 2007 and $300 million in 2006

[MARTYR]

Government eyes Islamic sukuks

28 October 2009
AMMAN –– The Ministry of Finance (MoF) is planning to tap Islamic sukuks (bonds) in a bid to attract more capital to finance government projects.


Essa Saleh, the assistant secretary general and spokesperson of the MoF, told The Jordan Times on Monday that the plan seeks to encourage Islamic banks and financial institutions in Jordan to invest in sukuks as interest-bearing bonds are not permissible under Islamic investment principles.


Declining to set a specific date for starting such financing instruments, Saleh said the ministry is reviewing financial legislations, in cooperation with the International Monetary Fund, to issue sukuks, saying that once the project is ready, it will be presented to the iftaa department.


“Issuing a fatwa [religious edict] in this regard will attract companies dealing in Islamic finance to invest in such instruments,” the official noted.


Views of experts differed on the government plan as some said it will increase the government debt while others considered it as an important tool to raise money.


Banker Mefleh Aqel, ex-chairman of the former Industrial Development Bank which is now Jordan Dubai Islamic Bank , described the plan as a step in the right direction, saying Islamic finance has been untapped by the government due to legislative issues.


“It is important to open the market to Islamic bonds as Islamic banks in Jordan enjoy high liquidity,” he said, adding that large numbers of investors also seek Islamic finance for their projects.


However, Aqel warned of negative consequences if the government exaggerates issuance of Sukuks, stating that the volume of such bonds should be reasonable in terms of maturity and pricing.


“The most important feature for the government is to use the benchmark rate to encourage other borrowers to the market,” he remarked.


According to economist Yusuf Mansur, sukuk is another way of borrowing after the government exceeded its limit of loans from conventional banks.


“The government is going in the wrong direction as this step will only increase the internal debt,” he indicated.


Hani Khalili agreed, noting that internal debt, which is over JD5.5 billion, is increasing because government expenditure is also increasing on projects that do not generate revenues to pay back such debts.


The government should encourage banks to lend to the industrial sector instead of it (the government) borrowing from banks to finance unfeasible projects, he explained.


“It seems that the government has used all options with banks and now is going to resort to financial institutions that refuse to deal with traditional bonds,” he stated.


Aqel rejected Khalili’s point of view, saying the government has not used all lending outlets and that sukuks offer the diversification needed in the stock market.


Financial analyst Ali Tabbalat predicted the sukuk plan to be successful, saying Islamic bonds will stimulate the government fiscal plan by raising money to finance infrastructure projects.


Stating that the new financing instrument will increase the internal debt, Tabbalat said the government is going to borrow money and it is essential to open the Islamic bonds market at this time.


The analyst said Jordan can benefit from other countries’ experiences in this regard, particularly Dubai and Malaysia, saying that even some European countries are examining Islamic investment to tackle credit crunch.

By Omar Obeidat

[MARTYR]

Amman Stock Exchange

28 October 2009
AMMAN (JT) - Tuesday’s trading value amounted to JD32.6 million spread over 20 million shares traded through 9,091 transactions.


The share price index closed at 2,614 points, a drop of 0.39 per cent.


Out of 172 corporations whose shares were traded, prices of 71 companies rose, and those of 78 firms declined.


The top five gainers were Middle East Diversified Investment by 5 per cent, Amoun International for Investments by 5 per cent, High Performance Real Estate by 4.94 per cent, General Arabia Insurance by 4.94 per cent and Arab Jordan Investment Bank by 4.94 per cent.


The top five losers were Al Shamekha for Real Estate and Financial Investments by 5 per cent, Union Tobacco & Cigarette Industries by 4.91 per cent, Darwish Al Khalili & Sons by 4.90 per cent, Middle East Pharma. & Chemical Ind. & Medical Appliances by 4.86 per cent and Jordan Commercial Bank by 4.85 per cent.

[MARTYR]

'Jordan committed to strong EU ties'

28 October 2009
AMMAN (Petra) - Prime Minister Nader Dahabi on Tuesday stressed Jordan’s commitment to strengthening its relations with EU member states, noting that the EU is a strategic partner for the Kingdom.


During a meeting with EU Troika ambassadors who are currently on a visit to Jordan, the premier also expressed Jordan’s appreciation for the EU’s support and assistance to the Kingdom over the past years.


Dahabi and the visiting delegation addressed the Kingdom’s economic developments, social and political reforms and environment programmes over the past few years.


The premier briefed the delegates on the Kingdom’s economic achievements despite the fallout from the global financial crisis, referring to some economic indicators that have improved recently.


These include the narrowing of the trade deficit as a result of the reduced value of imports and increased foreign reserves, the premier said at yesterday’s meeting, attended by several ministers.


However, the premier noted, other economic factors have been adversely impacted by the global economic slowdown, including the Kingdom’s exports, expatriate remittances, the budget deficit and the unemployment rate.


Dahabi explained that a higher committee has been formed to carry out continued reviews of the Kingdom’s economic indicators.


The committee is currently chaired by the prime minister and comprises several ministers and the governor of the Central Bank of Jordan.


The premier also briefed the EU Troika ambassadors on the executive programme of the national agenda, which outlines the government's socio-economic work plans, noting that priority has been given to projects already in the making prior to the implementation of the programme.


Addressing issues raised by the EU delegation on the environment and climate change, Dahabi told the delegates that the environment is a top priority for Jordan.


The prime minister referred to several policies that the government has adopted in the field of renewable energy, noting that Jordan welcomes any European investments in this field. He also noted that 80 per cent of Jordan's electricity is generated through the use of natural gas imported from Egypt, a relatively clean energy source.

[yazm1991]

Originally Posted by MARTYR

'Jordan committed to strong EU ties'

28 October 2009
AMMAN (Petra) - Prime Minister Nader Dahabi on Tuesday stressed Jordan’s commitment to strengthening its relations with EU member states, noting that the EU is a strategic partner for the Kingdom.


During a meeting with EU Troika ambassadors who are currently on a visit to Jordan, the premier also expressed Jordan’s appreciation for the EU’s support and assistance to the Kingdom over the past years.


Dahabi and the visiting delegation addressed the Kingdom’s economic developments, social and political reforms and environment programmes over the past few years.


The premier briefed the delegates on the Kingdom’s economic achievements despite the fallout from the global financial crisis, referring to some economic indicators that have improved recently.


These include the narrowing of the trade deficit as a result of the reduced value of imports and increased foreign reserves, the premier said at yesterday’s meeting, attended by several ministers.


However, the premier noted, other economic factors have been adversely impacted by the global economic slowdown, including the Kingdom’s exports, expatriate remittances, the budget deficit and the unemployment rate.


Dahabi explained that a higher committee has been formed to carry out continued reviews of the Kingdom’s economic indicators.


The committee is currently chaired by the prime minister and comprises several ministers and the governor of the Central Bank of Jordan.


The premier also briefed the EU Troika ambassadors on the executive programme of the national agenda, which outlines the government's socio-economic work plans, noting that priority has been given to projects already in the making prior to the implementation of the programme.


Addressing issues raised by the EU delegation on the environment and climate change, Dahabi told the delegates that the environment is a top priority for Jordan.


The prime minister referred to several policies that the government has adopted in the field of renewable energy, noting that Jordan welcomes any European investments in this field. He also noted that 80 per cent of Jordan's electricity is generated through the use of natural gas imported from Egypt, a relatively clean energy source.

Good to see Jordan, gaining better economic ties with the EU

[MARTYR]

Dahabi stresses Jordan's readiness to provide Bahrain with medical manpower

29 October 2009
Amman – Prime Minister Nader Dahabi on Wednesday voiced Jordan's readiness to provide Bahrain with skilled medical manpower and said Jordan's health capabilities are at the service of the Kingdom of Bahrain.

The premier remarks came during a meeting with Bahraini Health Minister Faisal bin Yaqoub Al Hamar during which Dahabi and the Bahraini official discussed scopes of propping up joint cooperation, especially in medical areas.

''Jordanians will be given priority to work in health and medical sectors in Bahrain, said the Minister, pointing that the meeting touched on prospects of benefiting from specialized health facilities in Jordan.

Health Minister Nayef Al-Fayez and his Bahraini counterpart briefed the premier on the outcome of their yesterday's meetings during which the two sides agreed to set up teams to study Bahrain's needs of medical, nursing and technical staff that would help enhance health sector in the Arab gulf state.

[MARTYR]

Amman Stock Exchange

29 October 2009
AMMAN (JT) - Wednesday’s trading value amounted to JD33.9 million spread over 23.1 million shares traded through 10,564 transactions.


The share price index closed at 2,625 points, an increase of 0.41 per cent.


Out of 168 companies whose shares were traded, prices of 96 firms rose, and those of 48 entities declined.


The top five gainers were Resources Company for Development & Investment Plc by 5 per cent, International for Medical Investment by 4.97 per cent, Alia- Royal Jordanian Airlines by 4.85 per cent, Arab German Insurance by 4.80 per cent and Union Tobacco & Cigarette Industries by 4.80 per cent.


The top five losers were Irbid District Electricity by 5 per cent, Specialised Investment Compounds by 4.97 per cent, Union Investment Corporation by 4.95 per cent, Jordan Clothing by 4.93 per cent and Darkom Investment by 4.86 per cent.

[yazm1991]

Jordan becoming uranium mining hot spot

After nine months of excavations, a joint French-Jordanian mining company has found rich uranium deposits near the surface.
King Abdullah II of Jordan.

The Jordanian-French Uranium Mining Company, a joint venture between the French energy conglomerate AREVA and the Jordan Energy Resources Inc, has reportedly found a site for the first ever uranium mine in Jordan.

The Kingdom is establishing a peaceful nuclear energy program with cooperation from both the United Sates and France.

The discovery of a domestic source of uranium is a major boost for the program in a country lacking the vast oil and gas reserves of its eastern neighbors, and further reduces the country's dependence on oil imports.

"From a strategic point of view, if that uranium deposit proves to be commercially viable and can be manufactured, treated and sold to international organizations or to nuclear powers, I think that might be a strategic asset that could compensate for Jordan's lack of other resources such as oil and gas," Dr. Fares Braizat, head of research at the Social and Economic Survey Research Institute at Qatar University, told The Media Line.

"If that happens, it will give Jordan strategic leverage. If the quantities are of significant volume, it will change the way other countries look at Jordan," Braizat added.

The estimated 15-year development process was cut to three years by a team of 46 Jordanians and nine French nationals, Gilles Recoche General Manager of the Jordanian-French Uranium Mining Company told the Jordanian newspaperThe Jordan Times.

High grade uranium was discovered at very shallow depths, at some points no more than five feet, making future mining both cheaper and easier.

The next step for the company will be to establish an open-pit mine followed by the setting up of milling, crushing and extraction facilities for converting the uranium ore inside the Kingdom.

The success of the Jordanian-French Uranium Mining Company has attracted the attention of other mining giants such as English Australian Rio Tinto and the Chinese Sino Uranium who are now considering similar ventures to AREVA's.

There are possibilities some of the uranium may also be exported in addition to fuelling Jordanian nuclear power plants.

Jordan has recently signed an agreement worth $12 million with a Belgian firm to survey a site for its first nuclear power station.

The site under consideration is south of the Red Sea port of Aqaba and along the border with Saudi Arabia. Jordan plans to complete its first 1,000-megawatt reactor in five to six years, for both domestic use and possible export.

Braizat said he believed the discovery of commercially viable uranium would boost the local nuclear power endeavor "tremendously."

"The raw materials will be available free of charge for Jordan internally, and the only cost Jordan will have to pay is the extraction and the treatment cost, which requires technical assistance from other countries," he said.

[yazm1991]

Originally Posted by yazm1991

Jordan becoming uranium mining hot spot

Jordan has recently signed an agreement worth $12 million with a Belgian firm to survey a site for its first nuclear power station.

Great news for Jordan considering it was the only Arab nation without any oil, finally a feasible natural resource.

Its also good to seem some progress on the first nuclear power station

[yazm1991]

Government agency to begin phosphate exploration in south

AMMAN - The Natural Resources Authority (NRA) will begin exploring for crude phosphate in the Jabal Kabed and Abu Meel areas in the south of the Kingdom under a 24-month exploration programme costing JD4 million, according to a senior official.

In a letter sent to Lower House Speaker Abdul Hadi Majali, Prime Minister Nader Dahabi said the required funding for the exploration project will be allocated in 2010 and 2011 budgets.

He added in the letter made available to The Jordan Times that the government will float a tender at the end of 2011 for mining the crude phosphate through a specialised consulting firm.

“Before signing the final deal for mining with the winning bidder, the government will forward the deal to the Jordan Phosphate Mines Company (JPMC), to study implementing the excavations within 90 days in accordance with the agreement signed between the Jordanian Investment Company and the Brunei Investment Agency,” the letter said.

In 2006, the government signed an agreement with the Brunei Investment Agency to sell 37 per cent of the government's stake in the JPMC at JD2.8 per share.

The agreement was signed in accordance with the Privatisation Law and in line with the Executive Privatisation Commission's plan, and was also intended to help bolster the JPMC's financial situation.

The letter sent to the Lower House came in response to questions on mining rights in Jordan presented by MP Awwad Zawaideh during the Lower House's second ordinary session that concluded last February.

According to Zawaideh, several companies and individuals had submitted proposals for phosphate mining, but they were rejected and the government renewed its agreement with the JPMC "unconstitutionally".

“If there was an agreement with a company, it should be followed by a regulatory law,” the deputy said at the time.

But the prime minister said there was no exclusive agreement between the government and the company.

“This is a letter that does not reach the level of a concession. The finance minister was commissioned, under a Cabinet decision, to grant the company some benefits after it was privatised," the premier told MPs at the time, noting that the government will grant mining concessions to other firms that meet the criteria.

[yazm1991]

Originally Posted by yazm1991

Government agency to begin phosphate exploration in south

AMMAN - The Natural Resources Authority (NRA) will begin exploring for crude phosphate in the Jabal Kabed and Abu Meel areas in the south of the Kingdom under a 24-month exploration programme costing JD4 million, according to a senior official.

In a letter sent to Lower House Speaker Abdul Hadi Majali, Prime Minister Nader Dahabi said the required funding for the exploration project will be allocated in 2010 and 2011 budgets.

He added in the letter made available to The Jordan Times that the government will float a tender at the end of 2011 for mining the crude phosphate through a specialised consulting firm.

“Before signing the final deal for mining with the winning bidder, the government will forward the deal to the Jordan Phosphate Mines Company (JPMC), to study implementing the excavations within 90 days in accordance with the agreement signed between the Jordanian Investment Company and the Brunei Investment Agency,” the letter said.

In 2006, the government signed an agreement with the Brunei Investment Agency to sell 37 per cent of the government's stake in the JPMC at JD2.8 per share.

The agreement was signed in accordance with the Privatisation Law and in line with the Executive Privatisation Commission's plan, and was also intended to help bolster the JPMC's financial situation.

The letter sent to the Lower House came in response to questions on mining rights in Jordan presented by MP Awwad Zawaideh during the Lower House's second ordinary session that concluded last February.

According to Zawaideh, several companies and individuals had submitted proposals for phosphate mining, but they were rejected and the government renewed its agreement with the JPMC "unconstitutionally".

“If there was an agreement with a company, it should be followed by a regulatory law,” the deputy said at the time.

But the prime minister said there was no exclusive agreement between the government and the company.

“This is a letter that does not reach the level of a concession. The finance minister was commissioned, under a Cabinet decision, to grant the company some benefits after it was privatised," the premier told MPs at the time, noting that the government will grant mining concessions to other firms that meet the criteria.

Lets hope its successful, great to see Jordan taking so many steps to improve the economy.

[MARTYR]

i didn't know jordan had uranuim ?!?!?!?!

[MARTYR]

Amman Stock Exchange

AMMAN (JT) - Monday’s trading value amounted to JD19.4 million spread over 14.2 million shares traded through 8,395 transactions.


The share price index closed at 2,576 points, a decline of 0.03 per cent.


Out of 162 corporations whose shares were traded, prices of 57 companies rose and those of 72 firms declined.


The top five gainers were Al Nisr Al Arabi Insurance by 4.96 per cent, Arab Union International Insurance by 4.92 per cent, High Performance Real Estate by 4.88 per cent, Arab for Investment Projects by 4.88 per cent, and Dimensions Jordan and Emirates Commercial Investments Corporation by 4.88 per cent.


The top five losers were Al Ahlia Enterprises by 5 per cent, Jordan Investment Trust by 4.96 per cent, Union Investment Corporation by 4.91 per cent, Darat Jordan Holdings by 4.9 per cent, and Jordan Ceramic Industries by 4.82 per cent.

[MARTYR]

Jordan, Kazakhstan Open Economic Talks

Amman -- Minister of Industry and Trade Amer Hadidi on Monday stressed that the strong Jordanian- Kazakh economic ties highly contributed to removing obstacles hindering cooperation between the two countries.

In opening remarks at the Jordanian- Kazakh Business Forum, the minister said the mutual visits by King Abdullah II and Kazakh President Nursultan Nazarbayev contributed to promoting bilateral relations in all fields.

He also affirmed the need to strengthen trade, economic and investment ties between the two countries, underlining the need to implement what has been agreed upon during the joint committee’s 3rd session, held in January, 2008.

Minister of Agriculture Saeed Masri highlighted Jordan’s tendency to export fruit and vegetables to the Kazakh markets, stressing the importance of exchanging agricultural expertise between the two sides.

President of Jordan Chamber of Commerce Nael Kabariti underlined Jordan’s investment climate, noting to services and privileges extended to investors.

He also affirmed the need to increase the volume of trade exchange between the two sides.

For his part, Kazakh Minister of Agriculture Akhylbek Kurishbayev stressed the importance of holding such meetings to increase bilateral cooperation, especially in economic, trade and investment areas, noting to agreements signed between the countries and their role in enhancing trade and economic relations.

On the sidelines of the Kazakh President’s visit to Jordan, a number of agreements will be signed to promote cooperation between the two sides, the minister added.