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    Bangladesh, Oman sign LNG deal

Summary

Bangladeshi energy company Petrobangla will buy LNG from Oman’s OQ Trading. [Image: Bangladesh power, energy & mineral resources ministry]

by: Shardul Sharma

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Natural Gas & LNG News, Asia/Oceania, Middle East, Liquefied Natural Gas (LNG), Security of Supply, Corporate, News By Country, Bangladesh, Oman

Bangladesh, Oman sign LNG deal

Bangladesh has signed a new deal to purchase LNG from Oman, the south Asian nation’s power, energy & mineral resources ministry announced on Twitter on June 19.

The deal was signed by Bangladeshi energy company Petrobangla and Oman’s OQ Trading. Petrobangla will import 0.25mn to 1.5mn metric tons/year of LNG for ten years from 2026.

Bangladesh has been grappling with a gas shortage that has affected power generation and industrial activities. The depreciation of the local currency against the US dollar has made it challenging for the government to pay for LNG imports. In response to high global gas prices, Dhaka was compelled to ration gas supplies last year.

The country earlier this month signed a long-term LNG deal with QatarEnergy Trading, the LNG trading arm of QatarEnergy.

Bangladesh already has existing LNG import deals with Oman Trading International and Qatargas. The country has two floating LNG terminals, each with a capacity of 500 million ft3/day, located in Maheshkhali. One of these terminals is operated by Summit, while the other is managed by Excelerate Energy.

Summit last week received approval from the Bangladesh government to establish its second and country’s third floating LNG import terminal in Cox's Bazar.