Amman  - Work is set to start on a joint Dutch-Jordanian oil exploration project in the kingdom, following the conclusion of a deal between the Jordanian government and Royal Dutch Shell.

The deal clears the way for a three-year exploration project in Jordan's oil shale shores, an official said Tuesday.

The product-sharing agreement has been endorsed by Jordan's parliament and published in the official gazette on Monday, Natural Resources Authority (NRA) Director Maher Hijazine said.

Shell's subsidiary, the Jordan Oil Shale Company BV, is ordering equipment from Germany so it can start the exploration work within the next nine months, he added.

Under the agreement, Shell is due to invest at least 30 million dollars in the first phase of the project.

Following three years of exploration, the firm will enter a four- year evaluation stage to determine the feasibility of the initiative.

If Shell agrees to follow through on the scheme, it will be 15-20 years before oil is extracted, Hijazine said.

Shell could invest 340 million dollars in the project and pay the government 150 million dollars over the various stages of the scheme, according to the authorities.

Official statistics put the country's total oil shale deposits at about 40 billion tonnes. (dpa)