Govt approves purchase of LNG cargo at $22.35 per MMBtu amid gas crisis
The cargo, to be supplied by Singapore's Vitol Asia in mid-August, is expected to help ease the gas shortage triggered by the outage of the Moheshkhali floating LNG terminal.
Highlights:
- Cabinet body approves purchase of 42nd LNG cargo of 2026
- Vitol Asia to supply cargo on 15-16 August at $22.35 per MMBtu
- Purchase to cost around Tk949.43 crore
- Govt to buy 30,000 tonnes of bagged granular urea
The government has approved a proposal to purchase one cargo of liquefied natural gas (LNG) from Singapore-based Vitol Asia Pte Ltd at $22.35 per MMBtu amid an ongoing nationwide gas supply crisis.
The approval came at a meeting of the Cabinet Committee on Government Purchase held at the Secretariat today (30 July), chaired by Finance Minister Amir Khosru Mahmud Chowdhury.
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According to a Cabinet Division press release, the cargo will be procured through the Request for Quotation (International) method under Rule 105(3)(a) of the Public Procurement Rules, 2025.
The LNG cargo, the 42nd to be procured in 2026, will be supplied on 15-16 August.
As the lowest bidder, Vitol Asia Pte Ltd was awarded the contract. The total procurement cost has been estimated at Tk949.43 crore, with the LNG priced at $22.35 per MMBtu.
The decision comes days after a technical failure at the Excelerate Energy-operated floating storage and regasification unit (FSRU) at the Moheshkhali LNG terminal caused extensive damage to multiple cable systems essential for operating the terminal.
The incident, which occurred on 21 July, knocked out around 500-600 million cubic feet per day (mmcfd) of regasification capacity, significantly reducing gas supply to the national grid.
The disruption has affected households, industries, power plants and CNG filling stations across the country, with many areas experiencing severe low gas pressure and long queues forming at CNG stations.
At the meeting, the committee also approved a proposal from the Ministry of Industries to import 30,000 tonnes of bagged granular urea from Karnaphuli Fertilizer Company Limited (KAFCO), Bangladesh, in the first lot for FY2026-27.
The fertiliser will be purchased at $357.25 per tonne, with the total procurement cost estimated at Tk132.63 crore.
