2021: The year imported LNG was established as fuel of the future
Daily gas production fell by 79.2 mmcfd in the last one year, LNG import rose by 85.9 mmcfd
Reuters
UNB
Publish : 01 Jan 2022, 07:19 PMUpdate : 01 Jan 2022, 07:19 PM
As daily natural gas production witnessed a fall of 79.2 million cubic feet per day (mmcfd) in Bangladesh in the last one year, the import of liquefied natural gas (LNG) registered an 85.9 mmcfd rise.
Since the country is producing 2,898.8 mmcfd gas against a demand of 4,610 mmcfd, 20% of the total gas supply has to be met by imports, data from Petrobangla shows.
A comparison of data from the state-owned hydrocarbon corporation shows that the country produced 2,898.8 mmcfd gas on December 2 this year against 2,978.0 mmcfd on the same day in 2020.
The production capacity, however, remained static at 3,760 mmcfd as it did not witness any fall or rise in the last one year due to a lack of exploration activities.
The data shows that the country witnessed only 6.2 mmcfd increase in gas production at the 18 government-run gas fields as their daily production was recorded at 851.7 mmcfd against 845.5 mmcfd in 2020.
On the other hand, production at the international oil company-operated four gas fields fell by 171.3 mmcfd as they produced 1,499.2 mmcfd against the 1,670.5 mmcfd in the same period of 2020.
The import, however, registered a rise by 85.9 mmcfd to 547.9 mmcfd on December 2 in 2021 from 462.0 mmcfd in the same day 2020, against an import capacity of 1,000 mmcfd, which was also the same in 2020.
Energy experts have been blaming the government’s lack of interest in local hydrocarbon exploration, coupled with a seeming eagerness toward LNG imports, for the current situation.
According to the annual report published by the International Group of LNG Importers (GIIGNL), Bangladesh ranked 15th among the nations in the world that increased their LNG imports most in 2020.
Expressing grave concern over the country’s energy situation, energy expert and former professor of Chemical Engineering Department of Bangladesh University of Engineering and Technology (Buet) Dr Ijaz Hossain said Bangladesh is moving towards a dangerous situation as Petrobangla has failed to conduct necessary exploration in the hydrocarbon sector.
“Currently, we are importing 20-25% of gas as LNG from abroad. If there are no discoveries within the next 10 years, we will have to import more than 90% gas from foreign sources,” he told UNB.
“The government has to ensure at least 15% drilling — 5% by Petrobangla and 10% by foreign companies — to avert the future crisis,” Dr Ijaz, further said, adding that influence of vested interest groups might be behind increased LNG imports.
But the government has to take the right decision to increase exploration works, he added.
As per the country’s Gas Master Plan 2017, the demand is expected to increase to 5,257 mmcfd in 2022-23 and 6,228 mmfcd in 2024-25 to meet the needs of different sectors, including power and industry, in line with average 7% economic growth.
According to a forecast by Petrobangla, the country’s gas production from the local fields will be depleting and imports will continue to rise to meet the growing demand in power, industry and other sectors.
Petrobangla’s Annual Report 2020 says the country’s total initial recoverable proven plus probable gas reserve of 27 fields has been estimated to be at 28.29 trillion cubic feet (TCF).
Till December 2020, as much as 18.24 TCF gas was produced, leaving only 10.05 TCF of recoverable gas in 2P category.
Currently, 20 gas fields are in production with 105 wells on-stream.
Energy expert and professor of the BUET’s petroleum and mineral resources engineering department Dr M Tamim said current situation is the result of the Petrobangla’s failure to make any initiative for exploration in the last seven years since the country’s maritime boundary disputes with neighbours were settled in 2014.
The Petrobangla data reveals that the four gas fields operated by US-based company Chevron and UK-based Tullow have been producing about 40% of the country’s total gas from their four fields — Chevron’s Jalalabad (209.8 mmcfd), Maulavibazar (19.6 mmcfd), Bibiyana (1200 mmcfd) and Tullow’s Bangora (90.9 mmcfd).
The state-owned Petrobangla has been operating 18 gas fields, of which Titas has been producing the highest amount of 396.4 mmcfd.
2021: The year imported LNG was established as fuel of the future
As daily natural gas production witnessed a fall of 79.2 million cubic feet per day (mmcfd) in Bangladesh in the last one year, the import of liquefied natural gas (LNG) registered an 85.9 mmcfd rise.
Since the country is producing 2,898.8 mmcfd gas against a demand of 4,610 mmcfd, 20% of the total gas supply has to be met by imports, data from Petrobangla shows.
A comparison of data from the state-owned hydrocarbon corporation shows that the country produced 2,898.8 mmcfd gas on December 2 this year against 2,978.0 mmcfd on the same day in 2020.
The production capacity, however, remained static at 3,760 mmcfd as it did not witness any fall or rise in the last one year due to a lack of exploration activities.
The data shows that the country witnessed only 6.2 mmcfd increase in gas production at the 18 government-run gas fields as their daily production was recorded at 851.7 mmcfd against 845.5 mmcfd in 2020.
On the other hand, production at the international oil company-operated four gas fields fell by 171.3 mmcfd as they produced 1,499.2 mmcfd against the 1,670.5 mmcfd in the same period of 2020.
The import, however, registered a rise by 85.9 mmcfd to 547.9 mmcfd on December 2 in 2021 from 462.0 mmcfd in the same day 2020, against an import capacity of 1,000 mmcfd, which was also the same in 2020.
Energy experts have been blaming the government’s lack of interest in local hydrocarbon exploration, coupled with a seeming eagerness toward LNG imports, for the current situation.
According to the annual report published by the International Group of LNG Importers (GIIGNL), Bangladesh ranked 15th among the nations in the world that increased their LNG imports most in 2020.
Expressing grave concern over the country’s energy situation, energy expert and former professor of Chemical Engineering Department of Bangladesh University of Engineering and Technology (Buet) Dr Ijaz Hossain said Bangladesh is moving towards a dangerous situation as Petrobangla has failed to conduct necessary exploration in the hydrocarbon sector.
“Currently, we are importing 20-25% of gas as LNG from abroad. If there are no discoveries within the next 10 years, we will have to import more than 90% gas from foreign sources,” he told UNB.
“The government has to ensure at least 15% drilling — 5% by Petrobangla and 10% by foreign companies — to avert the future crisis,” Dr Ijaz, further said, adding that influence of vested interest groups might be behind increased LNG imports.
But the government has to take the right decision to increase exploration works, he added.
As per the country’s Gas Master Plan 2017, the demand is expected to increase to 5,257 mmcfd in 2022-23 and 6,228 mmfcd in 2024-25 to meet the needs of different sectors, including power and industry, in line with average 7% economic growth.
According to a forecast by Petrobangla, the country’s gas production from the local fields will be depleting and imports will continue to rise to meet the growing demand in power, industry and other sectors.
Petrobangla’s Annual Report 2020 says the country’s total initial recoverable proven plus probable gas reserve of 27 fields has been estimated to be at 28.29 trillion cubic feet (TCF).
Till December 2020, as much as 18.24 TCF gas was produced, leaving only 10.05 TCF of recoverable gas in 2P category.
Currently, 20 gas fields are in production with 105 wells on-stream.
Energy expert and professor of the BUET’s petroleum and mineral resources engineering department Dr M Tamim said current situation is the result of the Petrobangla’s failure to make any initiative for exploration in the last seven years since the country’s maritime boundary disputes with neighbours were settled in 2014.
The Petrobangla data reveals that the four gas fields operated by US-based company Chevron and UK-based Tullow have been producing about 40% of the country’s total gas from their four fields — Chevron’s Jalalabad (209.8 mmcfd), Maulavibazar (19.6 mmcfd), Bibiyana (1200 mmcfd) and Tullow’s Bangora (90.9 mmcfd).
The state-owned Petrobangla has been operating 18 gas fields, of which Titas has been producing the highest amount of 396.4 mmcfd.
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