Bangladesh is negotiating with SOCAR on LNG supplies

Bangladesh and the State Oil Company of Azerbaijan (SOCAR) are conducting negotiations regarding the supply of liquefied natural gas (LNG).

As reported by BAKU.WS with reference to Report, this was stated by Bangladesh's Minister of Energy and Mineral Resources Iqbal Hasan Mahmud during the 31st Baku Energy Forum.

The minister recalled that the new Cabinet of Ministers took office in February of this year. "We immediately began combating corruption. We face an enormous number of tasks. Then a crisis broke out, and we found ourselves in an extremely difficult situation. The only available option for us was to enter the spot market. However, as is well known, spot prices are extremely high. This placed a serious burden on our foreign exchange reserves. In this regard, we are searching for alternative supply sources, primarily those that will help avoid sharp price fluctuations. We have already established certain promising contacts. In particular, we have signed a contract with SOCAR for the purchase of gasoline and are also conducting negotiations on LNG supplies, as our country's demand for liquefied natural gas is quite significant," I. Mahmud stated.

As he noted, Bangladesh has its own gas reserves, but they are insufficient to cover domestic demand and ensure electricity generation. "In this regard, we also intend to actively develop solar energy. In addition, we have begun conducting geological exploration work — tenders have been announced for offshore and onshore blocks. I believe that interest from companies will be shown, and we will be able to begin developing the deposits, although this will require a certain amount of time," I. Mahmud added.