Bangladesh Turns to US for Long-Term LNG Amid Global Supply Disruptions
Bangladesh is seeking to diversify its liquefied natural gas (LNG) supplies by turning to the United States amidst global supply disruptions. The government has approved a long-term LNG deal with U.S.-based Gunvor for 117 cargoes between 2026 and 2038.
Under the agreement, Bangladesh will buy five LNG cargoes in 2026, six in 2027, and six in 2028 at the Japan Korea Marker (JKM) index plus 8.75 cents per million British thermal units (mmBtu). The remaining three cargoes in 2028 and 10 cargoes a year from 2029 to 2038 will be priced at 121% of the U.S. Henry Hub benchmark plus $5.20 per mmBtu.
The deal comes as Bangladesh faces growing risks to LNG supplies due to disruptions to Qatari exports caused by the U.S.-Israeli conflict with Iran. QatarEnergy has declared force majeure on some long-term contracts, affecting LNG production and shipping routes.