State-owned Petrobangla has signed another agreement with OQT, Oman to import more liquefied natural gas (LNG) from the Middle East country. As per the new agreement, the OQT, the Omani state-owned company, will supply LNG 0.25-1.5 million tonnes per annum (MTPA) to Bangladesh over 10 years from 2026.
Prime Minister’s Energy Adviser Tawfiq-e-Elahi Chowdhury, who was present at the signing ceremony at Sonargaon Hotel on Monday, said it will play a vital role in ensuring Bangladesh’s energy security.
The function was also addressed by OQT Chief Executive Said Al Maawali and Petrobangla Chairman Janendra Nath Sarker, while Energy and Mineral Resources Division Secretary Md Khairuzzanan Mozumder presided over it.
Under the existing Sale and Purchase Agreement (SPA) of LNG signed between Petrobangla and Oman Trading International (now known as OQ Trading Ltd-OQT) on May 6, 2018, Oman has been supplying 1 to 1.5 MTPA of LNG on a G2G basis for a period of 10 years.
Under the new agreement, the OQT will supply more LNG over 10 years on a G2G basis. It will supply four cargoes of LNG in 2026, 16 cargoes of LNG per year from 2027 to 2028, and 24 cargoes of LNG per year from 2029 to 2035.
Currently, 3.5-4 MTPA of LNG is being imported under the two existing contracts.
“This will be in addition to the existing deal with Oman to increase the import by another 1 million tonnes under a 10-year agreement,” said the Petrobangla chairman.
The country’s total natural gas production is about 3,000 million cubic feet per day (MMCFD) against a demand of 4,000 MMCFD, leaving a shortfall of about 1,000 MMCFD. Of the total production, 700 MMCFD is imported.
