Govt okays purchase of 117 LNG cargoes from US

The government on Wednesday approved the purchase of 117 liquefied natural gas (LNG) cargoes from a US company over 12 years, along with six additional cargoes from three companies through direct procurement, amid heightened geopolitical uncertainty and volatility in international energy markets.
The decisions were approved at a meeting of the Cabinet Committee on Government Purchase, chaired by Finance Minister Amir Khosru Mahmud Chowdhury. The Energy and Mineral Resources Division placed the proposals.
Under a government-to-government (G2G) arrangement, Bangladesh will purchase 117 LNG cargoes from US-based Gunvor USA LLC between 2026 and 2038.
According to the approved proposal, five cargoes will be purchased in 2026, six in 2027 and three in 2028 at a price linked to the JKM index plus $0.0875 per MMBtu.
The government will purchase three additional cargoes in 2028, while 10 cargoes will be purchased annually from 2029 to 2038. The price for these cargoes will be set at 121 per cent of the Henry Hub (HH) index plus $5.20 per MMBtu.
The government also approved the purchase of six LNG cargoes from three companies through direct procurement.
Two cargoes will be purchased from the UK-based BlackCube International Ltd at $15.50 per MMBtu, while another two will be purchased from Oman-based Maxwell International SPC at the JKM index plus $0.54 per MMBtu.
The remaining two cargoes will be purchased in 2026 from Hong Kong-based Zhenyu Shipping Company Ltd at $14.95 per MMBtu.
The Energy and Mineral Resources Division told the meeting that securing a reliable fuel supply had become increasingly important amid volatility in international markets and the ongoing geopolitical and war situation.
Against this backdrop, the government is pursuing both short- and long-term LNG procurement arrangements to meet the country's gas demand and ensure uninterrupted energy supplies.

Govt approves Tk519.37cr purchases of essential food items
Meanwhile, the government has approved the purchase of 25,000 tonnes of sugar, 20 million litres of refined soybean oil and 10,000 tonnes of lentils at a total cost of Tk519.37 crore.
Of the amount, Tk157.86 crore will be spent on sugar, Tk282.55 crore on refined soybean oil and Tk78.96 crore on lentils.
The meeting approved the purchase of 25,000 tonnes of sugar through international open tendering at $514 per metric tonne. PT Trinity Cahaya Energy of Indonesia has been recommended as the supplier.
It also approved the purchase of 20 million litres of refined soybean oil through international open tendering at $1.150 per litre, with PT Trinity Cahaya Energy of Indonesia again recommended as the supplier.
A proposal to purchase 20 million litres of refined palm olein in two-litre PET bottles through local open tendering was also placed before the meeting.
However, following a request from the Ministry of Commerce, the proposal was withdrawn from the agenda. No purchase price was therefore approved or supplier recommended for the palm olein.
The meeting also approved the purchase of 10,000 tonnes of lentils in 50-kilogram sacks through local open tendering at Tk78.96 per kilogram, involving Tk78.96 crore.
Nabil Naba Foods Ltd of Daokandi in Paba upazila, Rajshahi, has been recommended as the supplier.