Often the unsung machine behind some of Jordan’s most iconic construction projects, MAG Engineering & Contracting, established in 1979, has completed design and construction for projects such as the Aqaba LNG Terminal, which was done through a joint venture with BAM International. This pivotal project enabled Jordan to begin exporting gas to Egypt for the first time in 2015. We sat down with MAG Engineering’s Managing Director Abu Ghattas to hear more about their involvement in Jordanian infrastructure.
What contracting projects is MAG Engineering most proud of?
We completed a series of transformative projects in Aqaba, including the expansion of the Aqaba Container Terminal, the construction of Aqaba New Port, Aqaba Oil Terminal and the new Aqaba Liquefied Natural Gas (LNG) Terminal. MAG Engineering completed the design and construction of the LNG terminal project through a joint venture with BAM International, which was such a truly critical project for national stability that it involved oversight from King Abdullah II. This project is the one we are most proud of, not to mention because it was also delivered ahead of schedule.
Why are you so proud of the Aqaba LNG Terminal, specifically?
This project required a high coordination of involvement with many stakeholders. It was finished at high quality and was delivered ahead of time. Moreover, it was critical to our country since operating power plants on gas instead of oil saved the country more than €1 million a day. The government paid around €65 million for the project, which we almost made up for in cost due to its early completion. Now in operation for three years, the terminal has been able to receive 25% LNG more than planned.
What other projects showcase your technical expertise?
We participated in the Disi Water Conveyance Project, which was carried out by GAMA, a Turkish contractor. They sub-contracted the most technical part, the pumping station, to us. Under this project, MAG Engineering constructed a station that pumps water for two major parts of Amman. In the industrial minerals sector, we were responsible for the construction of the Nippon Jordan Fertilizer Plant expansion, the Arab Potash Company Second Compaction Circuit at the Dead Sea, as well as the Aqaba Fertilizer Plant, which remains one of the best projects in the sector.
Who else have you worked with?
MAG Engineering and Contracting is specialized in building all kinds of power plants: diesel, simple and combined cycle. We built all of GE Europe’s power plants in Jordan, and cooperated with Alstom in the conversion of the Aqaba Thermal Power Plant to a dual-firing oil and gas plant. MAG also constructed several phases of the Samra Combined Cycle Power Station with SEPCO3 China. We were involved in the construction of most power plants in Jordan, performing civil and mechanical work, including for the following power stations: Risha, Rehab, Manakher IPP4, 570MW Qatraneh, Amman South and Amman North. MAG Engineering, with CDIG China, finished Aqaba Oil Terminal Civil Works, which consisted of the construction of all buildings, services, infrastructure and tank foundations related to three LPG tanks with a total capacity of 11,000m3, as well as six oil tanks with a total capacity of 120,000m3.
How is your current financial performance?
On good years, we have a turnover that exceeds $50 million. At the moment, I would say our turnover is closer to $10 million. We might not be the biggest in terms of turnover in the country, but we are selective with our projects. MAG Engineering prefers prestigious projects.
What sets MAG Engineering apart from its competition?
We are first-grade civil and electromechanical contractors that can execute our work starting from site leveling to final commissioning without subcontracting any work, which enables us to deliver high quality ahead of time and reduce maintenance costs. We also cooperate with highly reputable design offices for executing EPC projects where design is included in our scope. We have proved that we can work up to par with top international standards. MAG Engineering has worked with many different companies from all over the world, providing jobs and creating sites that are considered to be amongst the best in the Middle East. Our standards and quality of work continue to be our strongest points.