Bangladesh Secures LNG Deals Amid Global Energy Uncertainty

The Bangladesh government has approved the purchase of 117 liquefied natural gas (LNG) cargoes from US-based Gunvor USA LLC over a period of 12 years. The decision was made at a meeting of the Cabinet Committee on Government Purchase, chaired by Finance Minister Amir Khosru Mahmud Chowdhury.

The government will purchase five LNG cargoes in 2026, six in 2027, and three in 2028 at a price linked to the JKM index plus $0.0875 per MMBtu. Additionally, ten LNG cargoes will be purchased annually from 2029 to 2038 at a price of 121% of the Henry Hub (HH) index plus $5.20 per MMBtu.

The government also approved the purchase of six LNG cargoes from three other companies through direct procurement. The prices for these purchases vary, with two cargoes being purchased from BlackCube International Ltd at $15.50 per MMBtu and another two from Maxwell International SPC at the JKM index plus $0.54 per MMBtu.

The decision to purchase LNG was made amid heightened geopolitical uncertainty and volatility in international energy markets.