The government is set to allow Excelerate Energy to increase LNG- re-gasification capacity of its floating storage and re-gasification unit (FSRU) by 20 per cent to around 600 million cubic feet per day (mmcfd) from October next, said sources.
Execelerate's FSRU, the first in Bangladesh, can now re-gasify around 500 mmcfd of liquefied natural gas (LNG).
The government has taken the decision to increase LNG re-gasification to meet the country's natural gas demand, Petrobangla Chairman Zanendra Nath Sarker told the FE Sunday.
The cabinet committee is set to approve a Petrobangla proposal in this connection soon, he said.
Excelerate Energy is expected to increase its FSRU's re-gasification capacity during its scheduled overhauling period from late September and start operation with increased capacity from early November following a 45-day overhauling, sources said.
The US firm has already deferred twice the scheduled overhauling of its FSRU at the government's request to ensure gas supply amid summer crunch.
The deferment -- first from April to June and then from June to September, making a total of five months -- was made in view of the mounting energy demand amid heat waves when temperatures rose as high as 41 degrees Celsius.
Bangladesh re-gasified LNG as high as 980 mmcfd in its two FSRUs after Cyclone Mocha, and currently the volume is hovering around 800 mmcfd, according to official data.
Overall temperatures in Bangladesh will fall and so will the energy demand during September and onwards with the advent of spring and subsequent winter season, Petrobangla predicts.
Separately, the government has moved to award Excelerate Energy a contract to build a new FSRU and lay necessary pipelines near Payra sea port in southern Bangladesh, said sources.
If awarded, it will be the company's second floating storage and re-gasification unit (FSRU) in Bangladesh that would have a liquefied natural gas (LNG) re-gasification capacity of around 1,000 million cubic feet per day (mmcfd).
Apart from building the new FSRU, sources said, Excelerate Energy is supposed to lay a 70-kilometre (km) subsea pipeline to carry the RLNG from the offshore FSRU to the onshore gas station, and another 150km pipeline to carry the gas from Payra to Khulna.
Excelerate officials were not available for comment.
Bangladesh's cabinet committee on economic affairs last week also approved awarding a deal to Excelerate Energy to supply around 1.0-1.5 million tonnes per year of LNG under a long term deal for 15 years starting from 2026.
Sources said Bangladesh is making efforts to develop re-gasified LNG capacity to meet its growing demand for energy amid fast depleting natural gas reserves of the country.
Azizjst@yahoo.com
