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    Bangladesh to buy two spot LNG cargoes

Summary

The cargos will be procured from Total Energies Gas and Power, Switzerland and Vitol Asia, Singapore.

by: Shardul Sharma

Posted in:

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

Bangladesh to buy two spot LNG cargoes

The government of Bangladesh has approved proposals for procuring two spot LNG cargos to meet the domestic gas demand, state news agency Bangladesh Sangbad Sangstha (BSS) reported on September 7. 

The cargos will be procured from Total Energies Gas and Power, Switzerland and Vitol Asia, Singapore. The cost of the cargos is $13.77/mn Btu and $14.97/mn Btu, respectively.

Amidst the backdrop of declining global gas prices, Bangladesh has also undertaken efforts to secure fresh long-term agreements. It recently signed a long-term LNG deal with QatarEnergy Trading, the LNG trading arm of QatarEnergy. In June, Bangladesh signed a deal with Oman. Last month Petrobangla got approval to sign long-term deals with Summit Oil and Shipping Company and Excelerate Energy.

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