Dhaka Looks for Firms to Build Onshore Terminal

Rupantarita Prakritik Gas, part of state-run Petrobangla, is seeking expressions of interest to construct Bangladesh’s first onshore LNG import terminal at Cox’s Bazaar, according to a note posted January 29 on its website.  

According to the note, the expression of interest is for study, design, engineering, procurement, construction and commissioning of a 7.5 million metric tons/year land-based terminal, which will have receiving, unloading, storage and regasification facilities. Interested parties have time till March 20 to submit their expressions of interest.

The project will be on build, own, operate and transfer basis for 20 years, the note said, adding that the interested company may either be a single or joint venture. According to the note, construction work is expected to start by December this year and finish by June 2023.

Last year, Zanendra Nath Sarker, joint secretary of the energy and mineral resources division, said that Dhaka is in talks with Indian and Chinese firms to build its first ever onshore LNG terminal. He said that talks are on with India’s Petronet LNG and China’s CNPC and the contract will be awarded to either of the two.

India’s Petronet and Bangladeshi state owned Petrobangla have already signed a memorandum of understanding to set up LNG import infrastructure in Bangladesh.

At present the country has one operational offshore terminal while another one is under construction. Bangladesh received its first LNG cargo in April last year from Qatar aboard the Excellence floating, storage and regasification unit (FSRU) at the port of Moheshkha. The project was co-developed by Petrobangla, US specialist shipowner Excelerate Energy and IFC, a member of the World Bank group, with a project cost of $180mn. However, the terminal has been underutilised owing to some technical issues.