Government approves import of LNG from international spot market

Bangladesh to sign agreement with American company for purchasing LNG

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After import of LNG, it is regasified before being supplied into gas pipelines. At present, two floating terminals located at Maheshkhali, Cox’s Bazar have been designated for LNG storage and regasification. One of these terminals is operated by Accelerate Energy, while the other is managed by Summit Group.

The government is currently evaluating the proposals submitted by these two companies for long-term LNG supply, the decision was taken before the policy approval during the Cabinet Committee on Economic Affairs meeting in August last year.

Accelerate Energy has committed to supply 1 million to 1.5 million tonnes of LNG annually. A 15-year contract has been negotiated with them from 2026 to 2040. The price of LNG per unit will be set at US$0.35 plus 13.35 percent of the price of crude oil.

Additionally, Accelerate’s proposal to increase the capacity of its floating terminal has been approved. As a result, they will be able to convert 600 million cubic feet of gas per day, a significant increase from the current capacity of 50 million cubic feet.

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