Bangladesh Awards Three Oil, Gas Blocks

Bangladesh is likely to award exploration rights for three shallow offshore oil and gas blocks in Bay of Bengal to ConocoPhillips and ONGC, Dhaka tribune reported.

The Energy and Mineral Resources Division (EMRD) will place the proposal at the next meeting of the Cabinet Committee on Economic Affairs to award the blocks 4, 7 and 9, the newspaper said.

India’s ONGC reportedly offered to invest $38.4mn to conduct 2D-seismic surveys in 2700 line km, 3D seismic in 200sq-km area and drill two development wells in block 4, Dhaka tribune reported. The government’s profit sharing ratio will be 60-85% for gas and 70-90% for oil.

They also offered to invest $64.8m to conduct 2D survey in 2850lkm, 3D survey in 300sq-km area in block 9 and drill three development wells, with the same ratio of profit share for the government as above.

Meanwhile, ConocoPhilips offered to invest $23.4m to conduct 2D survey in 2347line km, 3D-seismic in 500sq-km areas and drill one development well in block 7. The profit sharing ratio for the government would be 55-80% for gas and 55-80% in oil.

The two companies are expected to begin operation in winter, Petrobangla Chairman Hossain Monsur told the Dhaka Tribune.