Bangladesh Finalizes LNG Deal with Oman Trading International

By Ruma Paul and Oleg Vukmanovic
Monday, April 23, 2018

Bangladesh has finalized a 10-year deal to import 1 million tonnes of liquefied natural gas (LNG) annually from Oman Trading International, two energy officials with direct knowledge of the matter told Reuters.

The deal with Oman Trading is Bangladesh's second LNG import agreement after Qatari producer RasGas, which has since merged with sister company Qatargas, to cover the country's domestic natural gas shortfall.

The LNG will be priced at 11.9 percent of the three-month average price of Brent plus a $0.40 per million British thermal unit (mmBtu) constant, one of the officials said.

The deal with Oman Trading will be signed soon, the officials said.

Bangladesh is all set to receive its maiden shipment of LNG from Qatar on Tuesday, said Mohammad Quamruzzaman, managing director of the Rupantarita Prakritik Gas Co, a unit of state-owned oil firm Petrobangla.

"Within the next 24 hours, we are going to receive the cargo from RasGas," he told Reuters on Monday, adding that the ship was carrying around 65,000 tonnes of LNG.

The pricing with RasGas is 12.65 percent of the three-month average price of Brent oil plus a constant of $0.50 per MMBtu.

Bangladesh, a country of more than 160 million people, could import as much as 17.5 million tonnes of LNG a year by 2025, as its domestic gas reserves dwindle and demand grows.

Categories: Energy LNG Contracts Ports Finance

Related Stories

Floating Offshore Wind Test Center Planned for Japan

Japan Picks Wood Mackenzie to Assess Trump-Backed Alaska LNG Scheme

Technip Energies Gets FEED Job for Inpex’ Abadi LNG Project in Indonesia

SPE Offshore Europe 2025 set to drive transformational change for the energy sector

Saipem Wins FEED Contract For Abadi LNG Project FPSO Module In Indonesia

Inpex Kicks Off FEED Work for Abadi LNG Scheme Offshore Indonesia

China Starts Production at Major Oil Field in Bohai Sea

CNOOC Finds Oil and Gas in South China Sea

Woodside Agrees Long-Term LNG Supply with Petronas Unit

OMV Exits Ghasha Gas Project off UAE with Lukoil Stake Sale

Current News

Yinson Production Nets DNV Approval for New FPSO Hull Design

Hanwha Ocean's Tidal Action Drillship Starts Maiden Job with Petrobras

Petronas to Leverage AI to Expedite Oil and Gas Exploration Activities

Brownfield Output Decline Accelerates, says IEA

PV Drilling Takes Ownership of Noble Corporation’s Stacked Jack-Up Rig

Hanwha Ocean Enlists ABB for Singapore’s First Floating LNG Terminal

Aquaterra Energy Nets Subsea Analysis Contracts with INPEX off Indonesia

POSH Set to Tow Nguya FLNG from China to Eni’s Congo Field

Chinese Contractor Secures Offshore Oil and Gas ‘Mega Deal’ from QatarEnergy

DOF Secures Moorings Hook-Up Job in Asia Pacific

Subscribe for AOG Digital E‑News

AOG Digital E-News is the subsea industry's largest circulation and most authoritative ENews Service, delivered to your Email three times per week

https://accounts.newwavemedia.com