The rail project, envisioned to transport 16 ⁠million ⁠metric tons of phosphate and potash annually, will span 360 kilometres, linking the mining areas of Al-Shidiya and Ghor Al-Safi in Jordan to its Aqaba port. The development is expected to have a major impact on Jordan’s mining sector, a core pillar of the Gulf country’s export economy.

“As part of the ⁠agreement, the UAE–Jordan Railway Company was launched as a joint venture between several Jordanian stakeholders and L’IMAD Holding Company, Abu Dhabi’s newest sovereign wealth fund,” the UAE’s state news agency said.

“The project is the first step in building ‌the Jordanian national railway network project to connect ⁠Aqaba with neighbouring Arab countries, and to link the port with those in Syria and the Mediterranean,” reported the Jordanian state ‌news agency (Petra).

The latest move builds on a memorandum of understanding (MoU) signed in 2024 between the two countries to develop the railway, with full-scale implementation now taking centre stage.

The project will have an equal partnership between a consortium of Jordanian sovereign and industrial entities, including the Jordan Phosphate Mines Co., Arab Potash Co., the Government Investments Management Co., the Social Security Investment Fund, and Abu Dhabi-based L’imad Holding. The joint venture will be responsible for implementing the railway network through its executing arm, Etihad Rail, the developer and operator of the UAE’s national railway network.

As per the officials, the project’s financial close (recurring accounting process of verifying, adjusting, and finalising financial records) will likely happen by early 2027, with construction likely to take around five years. As per the engineering roadmap, multiple tunnels and bridges will be created to navigate the rugged terrain of southern Jordan and the Jordan Valley.

“By shifting these volumes from road to rail, the project is intended to drastically reduce per-unit transportation costs, enhance supply chain efficiency, and allow Jordanian minerals to compete more aggressively on the global stage,” Petra said.

Beyond its immediate industrial role, the railway represents the first phase of Jordan’s “National Railway Network.”

Plans include extending the line north toward Madounah near Amman, with further links to Syria, the Mediterranean, and Turkey, while also connecting to Saudi Arabia and wider Gulf Cooperation Council (GCC) markets.

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