Bangladesh Extends Deadline for Spot LNG Suppliers Amid Worsening Gas Crisis

The government of Bangladesh has extended the deadline for potential suppliers to bid on spot liquefied natural gas (LNG) deals until October 6. This is the second extension of the timeline, which was initially set to expire on September 15.

The move aims to attract more bidders and lower procurement costs, as only a handful of currently listed suppliers regularly participate in spot LNG tenders. The government hopes that by expanding its pool of approved international LNG suppliers, it can increase bid participation and reduce the cost of purchasing LNG from the spot market.

Bangladesh imports spot LNG with a gross heating value ranging from 1,025 to 1,100 British thermal units (Btu) per square cubic foot. The imported gas is blended with locally produced natural gas before being supplied to end-users. Petrobangla has been receiving applications in line with its decision to expand its pool of approved international LNG suppliers as the country relies increasingly on the volatile spot market to overcome a worsening gas crisis.