The government has approved the procurement of nine liquefied natural gas (LNG) cargoes from Trafigura, scheduled for delivery between December 2026 and December 2027. The agreement includes provisions for mutually agreed adjustments to the volume of cargoes. This decision was made during recent Cabinet Committee on Economic Affairs (CCEA) meetings, which also recommended in-principle approval for LNG purchases from five additional international suppliers to maintain stable gas supplies.

The proposed suppliers comprise BP Singapore Pte Limited, Sahara Energy Resource Limited, Shell International Trading Middle East Limited FZE, as well as government-to-government (G2G) arrangements with Cheniere Marketing International LLP and Trafigura Pte Ltd. The details regarding contract volumes, values, and delivery schedules for these procurements have not been disclosed.

In a separate development, the Cabinet Committee on Government Purchase (CCGP) rejected a proposal to establish a floating storage and regasification unit (FSRU) at Kutubjom in Maheshkhali, Cox’s Bazar. This project, put forward by China National Energy Engineering and Construction Company, was intended to provide an additional 600 million cubic feet per day of regasified LNG to the national grid to address the decline in domestic gas production.

The planned floating terminal was estimated to cost approximately Tk12,324 crore over 15 years or Tk13,161 crore over 20 years, with a targeted completion date in 2028. Following the CCGP’s decision, the Energy and Mineral Resources Division formally withdrew the proposal, as stated in a Cabinet Division press release.

The government’s moves reflect a strategy to secure diversified LNG sources through both direct commercial purchases and G2G agreements, while stepping back from a costly infrastructure project that faced scrutiny. The ongoing LNG procurements aim to ensure continuous gas supply amid challenges posed by decreasing domestic reserves.