Prime Minister’s Energy Advisor Dr Tawfiq-e-Elahi Chowdhury has said that the international bidding for offshore oil and gas exploration will draw a huge response. “This round, we have introduced some new aspects like linking gas price with Brent and per year cost recovery at highest 75 percent to make the bidding more attractive,” he told reporters at a press conference at Petrobangla headquarters in Dhaka on Monday. The Energy and Mineral Resources Division organised the press conference to brief about the “Oil and Natural Gas Exploration Under Bangladesh Offshore Bidding Round 2024”, for which Petrobangla invited international oil and gas companies (IOCs). Intensify efforts to scale up renewable energy technology: Energy Advisor State Minister for Power, Energy and Mineral Resources Nasrul Hamid, Energy Secretary Md Nurul Alam and Petrobangla chairman Zanendra Nath Sarker also addressed the event. The tender notice was published in local newspapers and websites of concerned government entities including Bangladeshi missions abroad on Sunday giving six months’ time until September 9, 2024 for submission of the bids. As per the floated tender, a total of 24 offshore blocks — of which nine are shallow blocks — and 15 deep sea blocks are available for the bidding round. The nine shallow sea blocks are SS-01, 02, 03, 05, 06, 07, 08, 10 and 11) and 15 deep sea blocks are DS-08, 09, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21 and 22. Gov wants AIIB to invest more in energy, power sectors: Nasrul The bidder, singly or in association with other companies, can bid for one or more blocks. Contracts will be signed with the successful bidders in line with the Bangladesh Offshore Model Production Sharing Contract 2023, said the tender. Tawfiq Elahi Chowdhury informed that so far, the bidding invitation was sent to 55 IOCs who have contacted the government as potential bidders. He, however, averted a question on the geopolitics that might appear to be a factor in the participation of the IOCs in the bidding round. Nasrul Hamid said it’s an open bidding and any company eligible can bid for any block. He said a pre-bid meeting will be arranged after Ramadan for the interested bidders. Read more: Petrobangla invites offshore bidding for oil, gas exploration

Bangladesh government's Energy Secretary Dr. Md. Khairuzzaman Mozumder has said that the government has planned to invite international bidding for offshore hydrocarbon exploration within a month. “Last week the Cabinet Committee on Economic Affairs approved the New Model Production Sharing Contract (PSC). Now we’re making our highest efforts to go for international bidding within a month,” he told a webinar on Wednesday (August 09, 2023). The Energy and Mineral Resources Division of the Ministry of Power, Energy and Mineral Resources organized the webinar to observe “the National Energy Security Day”. Next two years to be critical for energy sector: Nasrul The energy secretary said the government is assuming that this time a huge response will be received from international oil companies (IOCs) as the Model PSC has been modified making it more attractive. “We’re already getting some positive indications in this regard,” he added. He said the government has been working for ensuring energy security and part of it LNG is being imported to supply the gas to the industries on priority basis. Dr Tawfiq Elahi said that the issue of gas exploration has to be on a realistic basis. Improving energy efficiency will be important for Bangladesh: WB “It’s unrealistic to determine a gas reserve in any place until we find gas through drilling, “he said adding, the possibility of having new 10 trillion cubic feet (TCF) at different locations could be a class-room lecture. “But until we drill and find it, we should not have prospects of 10 TCF gas,” he said criticizing Prof Anwar Hossain’s statistics about prospects of new gas in the country. Anwar Hossain in his speech said if the government drills 18 new wells, it can find 9-10 TCF gas easily as the country’s success ratio in drilling is 1:3. Mollah Amnzad said that drilling of wells is a very costly matter. So, the foreign companies can be engaged in this regard. He mentioned that the government is experiencing a dollar crisis and now it’s failing to pay the IOCs, private power producers and also the LNG suppliers. Energy Division achieves 103.04 percent progress in RADP implementation He said the government has made many good policies. But its problem with implementation has now created the current energy crisis. Power secretary Habibur Rahman said that the government has taken a move to generate 2000-3000 MW of electricity from renewable sources in the next 2-3 years. Bangladesh encourages enhancing share of renewable energy in fuel-mix: Nasrul

A formula-based pricing policy needs to be put in place to attract international oil companies (IOCs) to explore hydrocarbon in Bangladesh, energy experts said on Saturday. "Unless there is a formula to fix energy prices, the IOCs will not be interested to come here," said Khondokar Abdus Saleque, a former senior official of Petrobangla. Read Experts upset at govt's growing dependence on gas import Saleque, who was speaking at the seminar "Post-Covid Hydrocarbon Exploration Challenges for Bangladesh," said presently Bangladesh is following a fixed price policy for energy prices; the country is offering $6-plus per unit of gas to the IOCs while it is importing it at over $11. "In such a situation, the IOCs will not be interested to invest here. Rather, they will be up for it if there is a certain formula for setting the price in line with the global market price," he added. Read BAPEX discovers 4-layer gas in new part of Haripur Speaking at the webinar organised by Energy and Power magazine, former Petrobangla chairman Muktadir Ali said Bangladesh failed to make any breakthrough in onshore and offshore hydrocarbon exploration, only because of the gas price offered to IOCs.  "The country will face the real challenge from 2024-25 when its gas production will begin to slow down and fall below 2,000 MMCFD," he said. "Also, we should not depend too much on liquefied natural gas (LNG) import for meeting our energy demand." Read Cabinet purchase body nods LNG import Dhaka University geology department Professor Dr Badrul Imam said the government is now engaging foreign companies in the potential gas fields which were discovered by Bapex.  Petroleum geologist M Faridduddin said, "Petrobangla and Bapex could not take the right decision as they need to get approval from the concerned ministry and higher authority to explore hydrocarbons." Read Two recently-relinquished offshore gas blocks remain unexploited Former Bapex managing director Mortuza Ahmad Faruque said the Probangla executive board is now dominated by officials from the concerned ministry who do not have the technical know-how.