PetroBangla receives 12 EOIs for LNG terminal in Bangladesh

State-owned oil company PetroBangla has reportedly received interests for the first onshore liquefied natural gas (LNG) import terminal in Bangladesh.

Rupantarita Prakritik Gas, a part of Bangladesh Oil, Cas & Mineral Corporation PetroBangla, said that 12 companies have submitted expressions of interest (EOI) for the project.

The land-based LNG regasification terminal will be located at Matarbari in the Cox’s Bazar district in southern Bangladesh. It will be constructed on a build, own, operate and transfer basis.

Among the companies that submitted their applications include Mitsui, Petronet LNG, Kogas, a consortium led by Summit Corp.

Submissions of interest were initially due on 20 March. However, it was extended to last week following requests by the companies, according to a Reuters report citing sources familiar with the development.

The officials will now assess the applications and shortlist them based on their individual capabilities.

According to a Rupantarita Prakritik Gas official, the overall process will take around a year to complete. The contract will be awarded upon completion, noted the news agency.

The scope of the EOI included the design, engineering, procurement, construction and commissioning of the LNG terminal. Once built, the facility will be able to manage 7.5Mtpa of LNG.

The winner will operate the terminal for 20 years, following which the Bangladeshi Government will assume the ownership of the LNG terminal at no cost.

Bangladesh is currently focusing to build onshore LNG terminals as its prior plans to import fuel through a floating platform were delayed due to technical and weather difficulties.