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EMRD opts for competitive bidding to find Titas gas seepage expert

June 15, 2007 00:00:00


M Azizur Rahman
The Energy and Mineral Resources Division (EMRD) has now opted for competitive bidding to select an international company for the job of plugging gas seepage from the Titas Gas field in Brahmanbaria district.
The state-run Bangladesh Gas Fields Company Ltd (BGFCL), the owner of the Titas Gas field, has already launched the international tender seeking proposals from internationally reputed companies having blowout prevention experiences to stop the years of gas leakage from the Titas field.
'We have already floated tender in quest for a suitable international company to halt the Titas gas seepage,' BGFCL managing director Shahidul Abedin told the FE Tuesday.
Any interested international companies must have at least 10 years of experience in gas blowout prevention and practical experience of plugging gas seepage of at least five fields across the world, a senior BGFCL official said pointing out the tender requirements.
Besides, the team leader of the bidding company must have 20 years of gas field blowout prevention experience, the official mentioned.
Sources said the EMRD earlier had moved to sign an unsolicited deal with the US company GSM in a bid to effectively kill the third well of the Titas Gas Field that has been leaking gas for the last several years.
The EMRD had completed all necessary communication with the GSM to obtain timely response from the blowout prevention firm to stop the gas leakage quickly.
Responding to the EMRD, the GSM's blowout prevention expert Canadian Bob Grace flew into Bangladesh in April last and held meetings with Petrobangla and other state-owned gas entities to find out the best ways of tackling the troubled gas field.
The Canadian expert, who has the experience of putting out the Tengratila gas field blaze, subsequently placed a number of proposals to Petrobangla to stop the gas seepage, which interested the EMRD to appoint the GSM in plugging the gas leakage.
But the Bangladesh Bank (BB) turned down the EMRD proposal of signing a US$ 3.74 million deal with the US Company.
Sources said, the BB rejected the EMRD proposal as it was unsolicited. It recommended launching tender to ensure that the price quoted in the proposed deal is competitive.
The BB was unanimous with the EMRD about the urgency of signing a deal with any company to stop the years of gas leakage from the Titas Gas field, a senior Petrobangla official said.
But the existing related rule does not permit the central bank to approve any such deal worth over $2.0 million (20 lakh). So it has recommended competitive bidding, the Petrobangla official added.
BGFCL officials said gas has been leaking through the cracks and holes in the Titas Gas field for a couple of years, but the extent of seepage has increased alarmingly recently.

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