Dhaka, Thursday, June 21, 2018 01:09 AM   
     
Home Energy BD Energy World Green Energy Opinion Interview Environment Business Others Archive
LATEST >
বাংলা সংস্করণ
   
Cabinet approves PSC for block-12 at deep sea

The cabinet committee on economic affairs on Wednesday approved the Energy and Mineral Division`s proposal to sign the production sharing contract (PSC) with South Korean Posco Daewoo International Corporation for oil and gas exploration in the deep sea block-12.

The cabinet body approved the proposal in a meeting held at Secretariat with Finance Minister Abul Mal Abdul Muhith in the chair.

After the meeting, additional secretary to the cabinet division Mostafizur Rahman told reporters that the government processed the proposal of Posco Daewoo under the ‘Speedy Supply of Power and Energy (Special Provision) Act, 2010’ which means there was no open competitive bidding process in awarding the deal.

On December 7 last year, state-owned Petrobangla signed an initial deal with Posco Daewoo for the deep sea block.

After the cabinet body`s nod, both will move for signing the final deal which will allow Posco Daewoo to start physical works for the block.

According to the proposed contract, Posco Daewoo will conduct a 2D seismic survey and drill an exploration well during the first two years. If the block is found to be potential, then the company will also conduct a 3D seismic survey.

A  Petrobangla official said that the government kept option for export in the proposed deal.

After the discovery of any gas, the South Korean company will offer Petrobangla to buy its portion of gas to be obtained under production sharing contract, according to the export provision.

If Petrobangla refuses to buy gas, Posco Daewoo will offer a third party within the country to buy it. If the third party refuses, the Korean company will be allowed to export.

Official sources said the price of gas was set at $ 6.5 per unit (1000 cubic feet) in the proposed deal.

 

 

Print Friendly and PDF

   You may also like

Category: Gas
Govt moves to drill 108 wells in onshore blocks

Category: Gas
City’s gas crisis likely to linger despite move to add more gas to nat’l grid

Category: Gas
‘Hearing on proposal for fresh gas price hike begins June 11’

Category: Gas
Bangladesh imports 1m tonnes LNG from Oman

Category: Gas
Bangladesh, Oman to sign deal for LNG today

Category: Gas
‘20-year Energy Security Fund formulated for LNG import’

Category: Gas
ENOC keen to supply LNG to Bangladesh

Category: Gas
Summit signs MoU to develop a LNG to power project in Bangladesh

Category: Gas
‘Explore more wells at Bhola’
     
    RECENT STORIES   MOST READ
    FOLLOW US ON FACEBOOK
    Recent Gas Stories
Govt moves to drill 108 wells in onshore blocks
City’s gas crisis likely to linger despite move to add more gas to nat’l grid
‘Hearing on proposal for fresh gas price hike begins June 11’
Bangladesh imports 1m tonnes LNG from Oman
Bangladesh, Oman to sign deal for LNG today
‘20-year Energy Security Fund formulated for LNG import’
ENOC keen to supply LNG to Bangladesh
Summit signs MoU to develop a LNG to power project in Bangladesh
‘Explore more wells at Bhola’
BGFCL earns net profit before tax Tk 392 crore in FY 2016-17


Explore the energynewsbd.com
Home
Energy World
Opinion
Environment
Others
Energy BD
Green Energy
Interview
Business
Archive
About Us Contact Us Terms & Conditions Privacy Policy Advertisement Policy

   Editor & Publisher: Aminur Rahman
   Copyright @ 2015-2018 energynewsbd.com
   All Rights Reserved | Developed By: Jadukor IT