$2.3B Jordan–UAE Aqaba Port Rail Project Launched

SSIF Named Key Investor in Project Company
Project Boosts Jordan–UAE Economic Ties
Investment Supports SSIF’s Infrastructure Strategy
SSIF Stake in Phosphate, Potash Gains from New Investment

Prime Minister Jafar Hassan and UAE Vice President, Deputy Prime Minister, and Chairman of the Presidential Court, His Highness Sheikh Mansour bin Zayed Al Nahyan, witnessed the signing of agreements to commence the executive procedures for the Aqaba Port Railway Project. This includes the establishment of a joint Jordanian-Emirati company responsible for the construction and operation of the railway.

Strategic Partnership and Funding
The project is based on an equal (50/50) partnership between:

Jordan: Represented by the Jordan Phosphate Mines Company (JPMC), Arab Potash Company (APC), the Government Investments Management Company (GIMC), and the Social Security Investment Fund (SSIF).

United Arab Emirates: Represented by "L'Imad Holding" (the sovereign investment platform of the Abu Dhabi government).

With a joint investment estimated at $2.3 billion, this is the largest railway transport project in the Kingdom's history. It features a major package of infrastructure sub-projects, including railway tracks, tunnels, and bridges designed according to top international specifications.
Economic and Regional Impact
The project aims to bolster the economic competitiveness of the Port of Aqaba as a strategic regional gateway for transport, shipping, and logistics. It is expected to:

Drive Regional Development: Specifically in the southern governorates and the Jordan Valley (Ghor) regions.

National Railway Network: Serve as the cornerstone for Jordan's National Railway Network, eventually connecting the Kingdom with neighboring Arab countries and linking Aqaba to Mediterranean ports via Syria and Turkey.

Expand 2023 Agreements: This project is an extension of the $5.5 billion joint investment agreement signed in late 2023 in the presence of His Majesty King Abdullah II and UAE President His Highness Sheikh Mohamed bin Zayed Al Nahyan.

Operational Capacity and Mining Support
The railway will create a direct link between mining sites and ports, drastically reducing transport costs and improving supply chain efficiency. Key technical details include:

Network Length: A 360-kilometer railway network.

Main Routes: Connecting the phosphate and potash mines in Al-Shidiya and Ghor Al-Safi to the Industrial Port.

Capacity: Transporting approximately 16 million tons of minerals annually (13 million tons of phosphate and 2.6 million tons of potash).

Future Expansion and Timeline
The government has already begun studies to link the Al-Shidiya mining route to the Ma’an Development Area, integrating it with the planned Ma’an-Aqaba Land Port to create a new logistic, industrial, and customs hub.

Timeline: Financial closure is expected by early 2027, with a 5-year execution phase.

Compensation: The government will allocate funds to compensate landowners in the Jordan Valley whose lands will be expropriated, or provide fair alternative land.

Knowledge Transfer: The partnership with "L'Imad Holding" will facilitate the transfer of advanced technical expertise to build specialized national capabilities in the railway sector.

During their meeting, PM Hassan and HH Sheikh Mansour bin Zayed emphasized that these agreements embody the deep-rooted relations between the two nations and fall within the framework of a broader economic and investment partnership.