Government Approves 1,850 Crore Taka Procurement of Two LNG Cargoes

Bangladesh has approved the emergency purchase of two cargoes of Liquefied Natural Gas (LNG) from the spot market at an estimated cost of 1,850.77 crore BDT. The decision aims to address the country’s pressing energy shortages and sustain domestic industrial and power sector demand.

The recommendation was granted on Monday during the 38th meeting of the Cabinet Committee on Government Purchase for 2026. According to official meeting sources, the Ministry of Power, Energy and Mineral Resources presented the procurement proposals, which were subsequently reviewed and recommended following standard international quotation procedures under Rule 105(3)(a) of the Public Procurement Rules 2025.

Under the approved framework, Singapore-based BP Singapore Pte. Limited will supply both cargoes. The first cargo, scheduled for delivery between 23 and 24 August, carries a price of 21.878 USD per Million British Thermal Units (MMBtu). Including Advance Income Tax (AIT), the total expenditure for this initial shipment stands at 927.51 crore BDT.

The second cargo is set to arrive between 4 and 5 September. This consignment has been secured at a slightly lower rate of 21.778 USD per MMBtu, bringing its total procurement cost, inclusive of AIT, to 923.27 crore BDT. Combined, the aggregate expenditure for both shipments will total 1,850,77,27,203 BDT.

The initial proposal submitted by the Energy and Mineral Resources Division outlined a broader timeline for securing spot market supplies, seeking approval for five separate cargoes spanning late August to early September. These included delivery slots for 23–24 August (40th cargo), 26–27 August (41st cargo), 29–30 August (43rd cargo), 1–2 September (44th cargo), and 4–5 September (45th cargo). Upon deliberation, the Cabinet Committee opted to grant immediate approval for the two specific cargoes slated for late August and early September delivery.

Spot market purchases remain a crucial lever for Bangladesh in managing seasonal spikes in gas demand, particularly for electricity generation, fertilizer production, and industrial output. While long-term supply contracts provide a steady baseline, spot acquisitions like these allow energy authorities to cover immediate supply gaps and maintain grid stability across the country.