Bangladesh Plans to Boost LNG Cargo Purchases as Demand Rises

(Bloomberg) -- Bangladesh is looking to increase purchases of liquefied natural gas this year, with its terminal ready to supply the national grid after a cyclone-related suspension of more than three months.

State-run Rupantarita Prakritik Gas Co. Ltd. this week issued a tender to buy two cargoes for delivery in early October, and has indicated purchases may ramp up in the fourth quarter, according to traders with direct knowledge of information.

Bangladesh will purchase LNG “as per requirement,” Shah Alam, general manager of LNG Division at RPGCL, said in a phone interview on Friday.

“Our initial plan is to purchase more LNG as demand is rising,” he said. Alam didn’t confirm how many tenders could be issued this year. He said the government floated two LNG tenders for delivery in the first week of October and a third for delivery in the second week of October. 

These are the first LNG purchases since the downfall of Sheikh Hasina’s government on Aug. 5. They also come as the country’s Summit LNG Terminal is ready to supply gas to the national grid, operator Summit Group said in a statement on Wednesday. The country’s floating terminal was damaged during a storm in May.

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