Bangladesh will buy two LNG cargoes from spot market in June, one less from May, as it will be importing more gas from term suppliers in the hot summer month.
The state-run Petrobangla will import six cargoes in June, its highest import slot in a month, from term suppliers to feed power plants and industries.
The country’s temperature normally remains warm during summer that officially starts from April 01.
During May and June, sources said, temperature remains warm too when energy consumption increases to meet the requirement of growing electricity generation.
On April 25, Bangladesh’s temperature recorded the highest in seven years at 41.2 degrees Celsius, according to the Bangladesh Meteorological Department.
The country also generated the highest-ever electricity of 13,520 megawatt (MW) on the night of April 25, according to the Bangladesh Power Development Board.
It witnesses rain during May and June when temperature moves up and down with warm weather.
With June’s two cargoes, Bangladesh’s total purchase of liquefied natural gas (LNG) from spot market will be eleven in total since its first purchase in September 2020.
Separately, Bangladesh has been importing five to six cargoes every month from regular term suppliers to meet the country’s natural gas demand.
Petrobangla’s subsidiary Rupantarita Prakritik Gas Company Ltd, which deals with LNG import, has been floating tenders since August 2020 to buy LNG from the spot market to meet around one-fourth of the country’s total LNG requirements from spot market.
Bangladesh initiated to import LNG from spot market after two years of the country’s first LNG cargo import in August 2018.
It has a 15-year contract with Qatargas to import 2.5-million tonnes of LNG per year at a 12.65-per cent slope of the three-month average Brent price plus a 50-cent constant.
The country’s contract with Oman Trade International is for 10 years at an 11.9-per cent Brent slope plus 40 cents.
It is now regasifying more than 800-million cubic feet per day (mmcfd) of LNG.
Source: Financial Express
