MoU with S Korea on energy sector cooperation Nov 15

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M Azizur Rahman
The government is set to sign a memorandum of understanding (MoU) with the South Korean government along with a consortium of five South Korean companies to boost bilateral cooperation in energy sector.
"A 15-member South Korean delegation led by Vice Minister for the Ministries of Commerce, Industry and Energy (MOCIE) Lee Jae Hoon will be arriving Dhaka on Wednesday next to sign the MoU with the Bangladesh government on November 15 next," a senior Energy and Mineral Resources Division (EMRD) official told the FE Sunday.
He said the MoU would be signed between the governments of Bangladesh and South Korea, while the South Korean consortium will also be a part in the MoU with the South Korean government.
The South Korean consortium include - Korea Electric Power Corporation (KEPCO), Korea Resource Corporation (KORES), Daewoo Interna-tional, Luxon Global and Posco.
This would be the country's first government-to-government (G2G) MoU with any overseas countries to facilitate bilateral cooperation in the energy sector.
Earlier the country's state-owned gas entity -- Petrobangla -- signed an MoU with the Thailand's state run PTT Exploration and Production Company in September 2006 to enhance bilateral cooperation in the energy sector.
Under the terms of references of the MoU, the PTTEP conducted a joint study to find out areas of cooperation where the two state-owned companies could jointly explore hydrocarbon.
The Thai PTTEP also looked into the reasons for gas leakages in the Titas gas field at Brahmanbaria under the MoU.
The South Korean Luxon Global, which is a part of the proposed G2G consortium between Bangladesh and South Korea, signed a MoU with the Board of Investment (BoI) two years ago to invest US$ 1.0 billion in Bangladesh for developing a coal mine, build a power plant, set up a fertiliser factory and undertake infrastructure development projects.
The BoI is yet to give its decision on the Luxon proposal.
The Luxon Global constituted a consortium with three other South Korean companies - Korean Development Bank (KDB), Korean Electric Power Corporation (KEPCO) and Korea Coal Corporation for its planned $ 1.0 billion investment in Bangladesh.