Qatar Petroleum has entered into a long term sale and purchase agreement (SPA) which will see the state energy company supply 1.25 million tons per annum (MTPA) of LNG to Vitol’s customers in Bangladesh.
In a statement issued today (22 February), Qatar Petroleum said that the LNG deliveries will commence later this year.
Saad Sherida Al-Kaabi, the Minister of State for Energy Affairs and the President and CEO of Qatar Petroleum, said: ‘We look forward to commencing deliveries under the SPA to further contribute to meeting Bangladesh’s energy requirements.’
With its population of 163 million people and falling domestic gas supplies, Bangladesh is expected to become a major LNG importer. According to news agency Reuters, Bangladesh imported 3.89 million tonnes of LNG in 2019 through two long-term contracts with Oman Trading International and Qatargas.
Potentially, the agreement could also help spark some LNG bunkering activity at Chattogram (formerly known as Chittagong), the main sea port of Bangladesh.