Jordan Oil Shale
This year we have started drilling throughout the concession to characterize the rock’s richness, thickness and overburden as a first step towards identifying its suitability for our technology.
Interview with Intisaar Al Kindy, General Manager and Country Chair of Jordan Oil Shale Company (JOSCO)
It is said that Jordan has the fourth largest resources of oil shale in the world. What is your assessment of this and what is your assessment of the resources in Jordan and how will they be utilized?
Jordan has deep and shallow oil shale resources. The Natural Resources Authority of Jordan estimates the shallow oil shale resources suitable for surface retort technologies to be 40 billion tonnes and that the oil content of those resources varies by region between 6 and 11%.
Shallow oil shale can be produced using currently available oil shale technologies such as surface retorting. Jordan’s deep oil shale resources are relatively unexplored. The purpose of JOSCO’s various project periods (Assessment then Appraisal then Pilot then FEED) is to better understand those resources and the viability of a commercial project in those deep layers using Shell’s proprietary In situ Conversion process (ICP). Although there are many ways to extract oil from oil shale, JOSCO will evaluate the resource in Jordan for the application of ICP technology which has been under development for many years and that we believe offers numerous advantages over other currently available technologies.
ICP doesn’t need the rock to be dug out and heated above surface. Rather, It relies on heating the rock while it is still in the ground thereby avoiding surface mining. Oil shale is a rock that hasn’t have enough geological time to mature into oil so ICP technology is based on inserting heaters into the surface to help mother nature do this. By heating the resource we would produce high quality liquid hydrocarbons under the surface and pump liquids up instead of digging out rock.
How well are these claims substantiated that Jordan has one of the largest shale resources in the world. Is this true or is it, in fact much, smaller than predicted?
This year we have started drilling throughout the concession to characterize the rock’s richness, thickness and overburden as a first step towards identifying its suitability for our technology. Throughout the project’s phases, we will release back to the government most of this concession area along with the data that we gathered on it. This will increase the government’s knowledge about its own resources. What we will retain is only a fraction of our initial concession area that we would need for a commercial investment. We know the oil shale exists but we, specifically, are looking for a resource that would work with ICP technology.
Do you believe that oil shale is the right resource to focus on?
As demand for energy grows, it will have to seek out alternative sources to meet this demand. This means using energy more efficiency, relying on new sources such as renewables and nuclear as well as seek out conventional sources such as oil and gas through new exploration in hard to find places as well as unconventional plays such as oil shale. Different economic factors play ito those considerations and the world will have to find the right balance.. I am very proud of Jordan because it is trying to find energy solutions and has a portfolio that combines different options to meet its future demand. They inherently have different possibilities for success but here is no one simple and complete solution – the options it have to be varied. What we’re working on right now is defining the options for success of ICP on Jordanian oil shale.
What is the margin of success you predict for JOSCO to be successful?
I cannot quantify it because of the numerous unknowns. Our fundamental focus right now is to find a resource that will make ICP technology work economically. We are very much still in the exploration phase and this will be a very long journey. To reach the stage where we are able to make a field investment decision will take at least ten years and on top of that there will be building and production logistics to handle so really it will be more like twenty years until we can see the benefit.
As a responsible company, how do you fulfill your corporate social responsibility?
We are a company that seeks to develop projects in socially, environmentally and economically responsible ways. Before we started our operations we conducted a complete Environmental, Social and Health impact Assessment (ESHIA) study. From the outcome of this study we built into our operations a set of mitigation measures to address any impact the operations might have on the surroundings in which ewe operate. and we currently have the results from which we are building our social development plans. We have several options and ideas that we’re exploring with a number of parties and will launch our programmes very soon.
How has the journey been for you so far and what is your message to our audience about Jordan?
When I was assigned to this project I didn’t know a lot about Jordan beside the fact that the people spoke the same language as I do. There were fears of political stability, security, and standards of living that made me cautious but it didn’t take me more than a few weeks to realize that Jordan is a great place. As a visa holder I feel treated just like every other citizen and on top of that, the weather is fantastic and there are always places to visit and entertain yourself. The government has been very cooperative with our business and the Ministers here are very approachable and available even at a short notice to help answer questions and direct us to solutions. The Natural Resource Authority has been very helpful and they have put together a committee to help us address our problems and this has been very pleasant.