New gas field discovered

A new gas field has been discovered in Rupganj of Narayanganj, close by the capital, which may hold a recoverable reserve of around 50 billion cubic feet (Bcf) of the fossil fuel.  

The state-owned Bangladesh Petroleum Exploration and Production Company Ltd (BAPEX) declared Saturday the discovery of the 'small' but commercially viable natural gas reserve, raising the number of country's hydrocarbon mines to 26 so far.

"We have found presence of commercially viable natural gas at 3600-metre depth from the surface while drilling an exploratory well there," Petrobangla Chairman Hussain Monsur told the FE as the news broke for the solace of the energy-hungry productive sectors.

Giving a preliminary estimate of around 50 billion cubic feet (Bcf), he said, "Despite having small reserve, the pressure and quality of Rupganj gas is very good."

BAPEX Managing Director Md Abdul Baqi said natural gas presence was also found in another layer at 3,326 metres from the surface at the Rupganj field last week. But testing for gas at the lower depth was not conclusive then.

There could be cumulative12 metres of gas layers in two zones with six metres in each, said Mr Baqi.

Gas is now flowing from the well on test at around 17 million cubic feet per day (mmcfd) with the pressure of around 2,100 pounds per square-inch (psi).

Additional reserves could be found by drilling new wells and carrying out 3D survey there, he said about the prospect.

He hoped that commercial production of natural gas from this new field would start within next three to four months on completion of the installation of necessary pipeline and establishment of a process plant.

BAPEX -- a subsidiary of the state-owned Petrobangla -- initiated drilling the exploration well at the Rupganj field late February and continued the work for about four months until Saturday, the BAPEX top brass said.

The field is located at Sector-20 inside the Purbachal township project of Rajdhani Unnayan Kartripakkha (RAJUK).

The government has already acquired three acres of land for the gas field.

Consumers in Dhaka and its adjoining areas, who face a nagging crunch of the fuel, would be benefited from the newfound gas.

The drilling of the exploration well at Rupganj, only 20 kilometres off the capital city, has cost BAPEX Tk 700 million (US$ 9.0 million).

This gas discovery happens to be fifth success of BAPEX in finding new gas in its 15 years of operation since 1989.

Earlier in July 2012, BAPEX discovered a new gas field at Srikail, some 100 kms off the capital.

The country's overall natural gas production is now hovering around 2.31Bcf per day against the demand for around 3.0Bcf.

Of the total production, BAPEX is supplying around 116 mmcfd of gas from six producing gas fields, which is 5.02 per cent of the country's total output.

The country's economy has been growing at an average 6.0 per cent a year since 2003, outpacing energy supply, and an aspired higher rate of growth to break the cycle would require more and more sources to be found out.

Such constraint has forced Petrobangla to ration new gas connections to gas-guzzling industries, power plants, fertiliser factories and households since June 2009.

The country now has moved to import expensive liquefied natural gas (LNG) for the first time to meet the domestic natural gas demand.