Petrobangla has formed a high-powered committee to pinpoint the actual reasons behind the international oil companies (IOCs) snubbing the much-anticipated offshore bidding round for which it floated a tender last March, initially with a 6-month deadline, that eventually got extended to 9 months, before expiring yesterday (Monday). for hydrocarbon exploration in the country’s maritime territory in the Bay of Bengal.
Engr. Md. Rafiqul Islam, Director with responsibility for the Production Sharing Contract (PSC) - that was modified specifically to make it more attractive to IOCs before the tender - has been made the head of the committee, according to Petrobangla Chairman Zanedra Nath Sarker.
He said the committee will sit with the IOCs and try to learn the reasons as to why they have not submitted their bids in the bidding round that ended on Monday despite the fact that there were many expectations from the government about their participation.
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After receiving the committee’s report, Petrobangla will forward all findings to the Energy and Mineral Resources Division for next steps, he added.
Meanwhile, Wood Mackenzie, the UK-based international firm, will now provide consultancy services to the Bangladesh Oil Gas and Minerals Corporation –Petrobangla to prepare necessary documents for onshore international gas block bidding.
According to official sources, the board of directors of the Petrobangla in a meeting on Monday approved Wood Mackenzie’s offer in this regard.
“Among the aspirant bidders for the job, the UK firm’s offer came out to the lowest one and was accepted by the board,” outgoing Petrobangla chairman Zanedra Nath Sarker told UNB.
Sources within the PMO said Petrobangla will have to pay about $160,000 to Wood Mackenzie and the consultant will prepare the document within two months.
Previously, the UK firm was engaged in preparing the offshore bidding documents as well, said the Petrobangla officials.
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Wood Mackenzie Limited, also known as WoodMac, is a globally renowned consultancy for providing data and analysis in the energy sector. Its services include data, analytics, insight, events and consultancy across the renewables, energy and natural resources sectors.
The Petrobangla chairman said the organisation has a plan to complete the preparation of the necessary documents and float international tender in the first quarter of the next year.