Petrobangla in talks to buy Indonesian LNG

Bangladesh’s Petrobangla is reportedly in discussions with Indonesia’s Pertamina to import more than 1 million tonnes of liquefied natural gas (LNG) from the latter as early as 2018.

Under an initial agreement signed by the energy ministers of both countries on Friday, Indonesia will continue talks with Bangladesh to develop LNG infrastructure in the South Asian country, and potentially supply the chilled fuel to Bangladesh, Reuters informs.

Bangladesh is expected to sign its first ever LNG import deal in Qatar later this month to help cover a shortfall of domestic natural gas.

Petrobangla is finalising several FSRUs, the first of which is expected to commence operations in April 2018. The state company is in discussions with several potential LNG suppliers, Reuters cited Petrobangla chairman Abul Mansur Md Faizullah as saying on Friday.

Petrobangla is seeking about 7 million tonnes per year of LNG from next year from several sources, according to the report.

Bangladesh’s two terminals, one being developed by Excelerate Energy and the other by Summit LNG to be located at Moheshkhali Island in the Bay of Bengal are set to be commissioned by April 2018 and the Summit terminal by October 2018, respectively.

Both FSRUs have a 3.75 million tons of LNG per year capacity.

LNG World News Staff