Bangladesh Gas Shortage Worsens as Excelerate Energy's FSRU Remains Offline

Excelerate Energy's floating storage and re-gasification unit (FSRU) in Moheshkhali, Bangladesh has been damaged in a fire incident, leaving the country with a significant gas shortage. The FSRU plays a crucial role in Bangladesh's energy system by receiving imported LNG cargoes, storing fuel, and converting it back into natural gas before supplying to the national grid.

The shutdown of the FSRU has cut gas supply to the national grid by around 450 million cubic feet per day (mmcfd), reducing gas pressure in many areas and disrupting industrial production. CNG filling stations are operating at minimum capacity, with long queues of vehicles in front of these stations across the country.

Petrobangla stated that local and foreign technical teams are working to repair and restart the FSRU, but gave no timeline for restoring normal gas supply. The cause of the fault and extent of the damage remain unclear.