Future Plans

With regard to the Company’s Fourth Expansion Project “Refinery Upgrade”, and as a result of the failure of the consortium that submitted the best bid comprising the Chinese company Sinopec (GPEG) and the Japanese company Itochu to reach an understanding to resolve the disputes with the project licensor, the American company KBR; the consortium’s inability to maintain the bid price due to the significant increase in raw material and service costs; and the inability to meet the requirements of the parties interested in financing the project concerning project exemptions and the settlement of the government’s current indebtedness; and in light of the global political and security conditions most notably the Russian Ukrainian war as well as the regional political and security developments, particularly the Israeli war on the Gaza Strip and the political and security tensions between Iran, Israel, and the United States, and the associated negative economic impacts on the Middle East, which led financiers to refrain from investing in large-scale projects, especially in this region; the Company decided to suspend negotiations with the Sinopec (GPEG) Itochu consortium and to proceed with the Fourth Expansion Project “Refinery Upgrade” by adopting a project production capacity of (73,000,000) barrels per day instead of (120,000,000) barrels per day, this capacity will ensure full coverage of the needs of the Jordanian Petroleum Products Marketing Company (a wholly owned subsidiary), which represents the Company’s marketing arm, for finished petroleum products. The project also includes the addition of the necessary units to improve product quality to meet the latest international standards, as well as the addition of a unit to convert reduced crude oil into lighter higher valuable products, this decision will lead to a reduction in the total project cost to be approximately USD (1,7) billion instead of USD (3) billion. The decision was also based on a detailed roadmap prepared by (Technip) the Project Management Consultant, outlining the required steps and the scheduled timeline for project implementation.

The Company contracted the American company Honeywell UOP and signed an Engineering Agreement to obtain licenses for all technologies to be used in the Fourth Expansion Project “Refinery Upgrade”, and to provide technical and engineering services related to the implementation of the Managing Licensor scope, as well as the basic engineering designs for the new units. This also includes updating the previously prepared basic engineering designs for the units that fall under the Fourth Expansion Project, with the aim of shortening project phases and saving time required to prepare the tender documents for the project as all major production units are licensed by UOP, whether for the project or for the existing units. UOP has completed the preparation of the Basic Engineering Design Package (BEDP) for the main units of the project.

The Company also contracted Technip to prepare the terms of reference, prepare all tender documents, carry out the technical and financial prequalification of the parties to be invited to bid, conduct the technical and financial evaluation of bids, select the technically and financially optimal offer, and negotiate all agreements prior to signing, as Technip is the party most familiar with the details of the Fourth Expansion Project and has comprehensive knowledge of the project requirements and the basic engineering design documents. Technip is currently updating the EBC ITB documents in coordination with the international legal advisor Simmons & Simmons, and is also updating the FEED documents based on the documentation and designs received from the American company Honeywell UOP.

The international legal advisor Simmons & Simmons was appointed as legal advisor to the project and is currently reviewing and updating the EPC ITB documents.

In June 2025, “Eco Consult” company was appointed as the environmental and social consultant for the project.The company is currently updating the Environmental and Social Impact Assessment (ESIA) and completing the environmental studies in line with Jordanian legislation and financiers’ requirements, thereby enhancing the project’s compliance with financing institutions’ sustainability and environmental, social, and governance (ESG) standards.

In light of the new developments and changes in the local market and global crude oil and refined products markets, the Company updated the market study through the specialized consultancy Wood Mackenzie. The economic feasibility of the project was re-evaluated by the Project Management Consultant Technip and a specialized refinery-sector consulting firm. The results confirmed the continued economic viability of the project under the revised model and demonstrated improved internal rate of return indicators and enhanced refining margins compared to the current operating status.

In February 2026, the Company contracted a consortium comprising the Arab Jordan Investment Bank (AJIB) and the French company Rothschild as financial advisors for the project.

With regard to project financing, the Company has received initial expressions of interest from financing institutions through a number of potential EPC contractors, including financing arrangements involving Export Credit Agencies (ECAs) and international financial institutions.

With the aim of adopting a financing structure that ensures bankability and financial close under the best terms, the Company is currently evaluating the proposed financing options and conditions in coordination with the Project Management Consultant Technip, the project’s financial advisor, and local and international legal advisors.

With respect to the financial relationship with the government, the company is still communicating with the relevant ministries and government agencies to agree on remaining matters related to the financial relationship between the company and the government, and to resolve all remaining outstanding issues, especially the payment of the amount due from the government. As a result of these negotiations, the Ministry of Finance allocated amount to pay gas support in the general budget for the year 2025 in the amount of approximately JD (62) million, and paid an amount of JD (80) million for the gas support balance due from the government based on Counsel of Ministers' Resolution No. (1897) in its session held on January 19, 2025, which stipulates that the Jordan Petroleum Refinery Company borrow an amount JD (80) million on behalf of the government to pay the debt owed to the company in exchange for the government issuing pledge banks to pay the loan amounts and interest due on them. Negotiations with the government are still ongoing to determine the value of the gas activity commission, which reflects a rate of return on investment of (12%) annually, in implementation of what was stated in Counsel of Ministers' Resolution No. (7633) taken in its session held on April 30, 2018, the communication is still ongoing with Financial Ministry to pay the gas support during the fist quarter of 2026 as an amount of JD (80) million has been allocated in the general budget to pay gas support for the year 2026. Arrangements are ongoing with the Ministry of Finance for a government's loan of an amount of JD (80) million from the local banks to pay of the amount due from the government.

The Jordan Petroleum Products Marketing Company, wholly owned subsidiary company, continues its path of development and expansion by opening and management new fuel stations. During the year 2025, the following fuel stations were added Al-Hezam Station/Alsalman 1, Menwer Al-Wazzan Station, Al-Qetar Station, Al-Slaman 2 Station, Manga Station/Madaba, New Karak Station/ Al-Hejazeen, Al-Faoury Satation/Ain Al-Basha, Al-Shamal New Station/ Al-Atar, Ma'moun Al-Ashi Station Wadi Saqra, Al-Fanar Station, Anas Al-Maghayreh Station and Alfaheed Station /Al-Sareeh, Al-Doha Station/Zaid Al-Edwan, Affash Al-Hamed after It has been updated to service. New several electric vehicle chargers have been installed in many locations, a total number of (157) electric vehicle chargers distributed on (56) locations in addition to signing an exclusive agreement with Beny Company EV Charger supplier in China as a representative company for Beny in Jordan and neighboring countries.

The company expanded its activities by entering into a strategic partnership with Jordan Gas Company under the name "National Advanced Natural Gas Company " (Watani) to practice (CNG) activity including transportation, storage, sale and distribution (CNG) to factories and fuel stations, this follows the preparation of the required infrastructure and equipment after obtaining approval from the concerned authorities. Memorandums of Understanding were also signed granting the company exclusive agency rights for Hexagon / Germany and UMO /Norway, both specialized in manufacturing gas transport containers.

Additionally, construction has commenced on the following stations, Al-Hurra Station/ Al-Jaish, North Development Station, Al-Shidiya External station, Jordan Street station, Abu Lawi Station/Zarka , Khalid Abdo Station and Tabarbour Charging station/Al-Saedeen.

During the first quarter of 2026, it is planned and expected to open and operate the following Al-Shidiya External Station, Ahmad Al-Dabbas Station, Mwaffaq Al-Masri Station, Al-Sha'b Station / Hai Ma'soum, Al-Hlalat Station/ Jarf Al-Daraweish, Al-Mdanat Station, Salem Al-Mayatah Station, Al-Shidiya External Station and Airport Bridge Station for charging electric vehicle, it also expected to begin the construction and upgrade of Al-Assaf Station. In addition to installing (22) electric vehicle chargers across (5) new locations.

The company also plans to complete the automation of inventory and electric sales system across all stations operated and supplied by the company. It will continue installing solar energy systems for electricity generation at several locations, while expanding its fleet for transporting petroleum products and fully automating its financial data systems to display real-time information.

Furthermore, the company plans to expand fast-charging stations for electric vehicles both within its stations and externally by installing them at various locations such as malls, parking facilities, and universities. It is also working on automating fuel supply requests between stations through system integration and is currently implementing an AI-based energy consumption auditing system by monitoring load behavior and generation sources.

Additionally, there are plans to link vehicle fuel consumption with electronic tracking systems, allowing realtime visibility of fuel usage compared to the amount filled. This aims to better regulate fuel consumption across government entities, ministries, institutions, and large corporations.

As for The Jordan Lube Oil Manufacturing Company, wholly owned subsidiary company, planning and efforts continue to increase its share in the local market by raising consumer awareness of product quality through participation in local and international exhibitions and organizing technical seminars. The company also conducts specialized training programs for oil users from official institutions, government entities, and other companies to introduce them to the latest global technologies and technical developments in oil manufacturing, packaging, and testing.

The company focuses on maintaining all production elements to ensure high-quality output, particularly human resources, by continuously training employees to enhance their expertise and skills. It also aims to expand effective storage capacities an essential component of blending, packaging, and production by implementing infrastructure projects to increase base oil and additive storage capacity through the construction of new tanks, adding approximately (300) tons of capacity.

The company continues upgrading its production equipment, including filling lines, tanks, material transfer systems, and pumps, while also working to establish a modern transportation fleet by increasing the number of vehicles and replacing older ones to ensure efficient delivery of oil products to customers across all regions and enhance customer satisfaction.

The company also seeks to expand export operations, focusing on neighboring countries particularly the Syrian Arab Republic as well as Chad. It aims to diversify its product portfolio to keep pace with rapid technological advancements in automotive, industrial equipment, and hydraulic systems. This includes meeting the requirements of Original Equipment Manufacturers (OEMs) and international standards bodies, most notably the American Petroleum Institute (API). The company continues to secure necessary certifications, develop new oil types, and improve existing products to meet both local and international market demands.

To ensure product quality and compliance with standards, the company provides all necessary testing tools for raw materials, additives, finished oils ready for sale, and used oils for monitoring and development purposes. It has also upgraded its laboratories, which have obtained international accreditation in accordance with ISO 17025:2017 standards. One of the company’s key future plans is to maintain this accreditation, expand its scope, and equip laboratories with the latest technologies in line with advancements in the mineral oil industry.

Recognizing the importance of implementing quality management systems, occupational safety, and environmental requirements, the company continues to renew ISO 9001:2015 certification, Jordanian Quality Mark certifications, and approvals from Mercedes and MAN. It also plans to pursue the Recognized for Excellence (R4E) certification awarded by the European Foundation for Quality Management.

Regarding Jordan Liquefied Petroleum Gas Manufacturing and Filling Company, wholly owned subsidiary company, since its activation in early 2023, efforts have continued to enhance operational performance and reduce costs to the lowest possible level. Projects for installing solar energy systems at its three gas stations were initiated in 2023 and completed in 2025.

To increase storage capacity and meet growing demand for liquefied gas, ensure national supply security, reduce third-party storage costs, and generate additional revenue through storage services, the company awarded a tender to construct storage facilities with a capacity of approximately (10000) tons at its Zarqa site. Construction began in October 2023 and is still ongoing.

In 2025, the company also signed an agreement to build additional storage facilities at its Aqaba site with a capacity of approximately (4000) tons, and implementation procedures have commenced. The company is currently working on developing and operating centralized gas distribution directly and through subsidiaries and strategic partnerships to further enhance and activate this business line. It has also renewed its central gas distribution license for an additional three years through the Energy and Minerals Regulatory Commission.