Govt renews MoU with Thai energy firm
Tuesday, 14 December 2010
M Azizur Rahman
The government has renewed the memorandum of understanding (MoU) with Thai state-owned PTT Exploration and Production Company (PTTEP) on energy sector cooperation, officials said Sunday.
"We renewed the MoU with our Thai counterpart last week. This is part of our effort to continue bilateral cooperation in the energy sector," Petrobangla chairman Dr Hussain Monsur told the FE.
The original MoU was signed between Petrobangla and PTTEP in September 2006.
The PTTEP has already conducted a joint study to find out areas where the two state-linked energy firms could cooperate.
It also examined the gas seepage leakages in Brahmanbaria, operated by state-run Titas.
Although the Petrobangla is yet to plug the Titas-operated gas field's leakage, it has started its own procedure to complete the job.
Currently, Petrobangla has similar deal with the South Korean government along with a consortium of five South Korean companies to boost bilateral cooperation in the energy sector.
Officials said Petrobangla has planned to sign a MoU with Russian oil giant Gazprom soon as part of energy cooperation between Dhaka and Moscow.
A large number of international oil companies (IOCs) are also keen to establish joint ventures with Petrobangla for oil and gas hunt in onshore and offshore hydrocarbon blocks.
Santos of Australia, China National Offshore Oil Corporation (CNOOC), GAIL of India, Daewoo International are among the companies queuing up for signing such agreements.
The foreign companies are now eagerly waiting for the approval of the country's first-ever joint venture policy to be approved, an energy official said.
He said the MoU might clear the way for Bangladesh Petroleum Exploration and Production Company (BAPEX) to explore hydrocarbon in the country's southeastern hilly region under block 22.
The government has decided to tie up with potential foreign state-owned firms to develop four gas structures in the Chittagong Hill Tracts (CHT) under the block -22 area.
The move comes at a time when the country is facing acute energy crisis, with gas demand far-outstripping supply.
Petrobangla said the country would require a further 24 trillion cubic feet (Tcf) of gas and investment worth $7.7 billion in the next 16 years to maintain its 7.0 per cent economic growth rate.
But state energy companies are struggling to mobilise funds to carry out necessary development work.
The government has renewed the memorandum of understanding (MoU) with Thai state-owned PTT Exploration and Production Company (PTTEP) on energy sector cooperation, officials said Sunday.
"We renewed the MoU with our Thai counterpart last week. This is part of our effort to continue bilateral cooperation in the energy sector," Petrobangla chairman Dr Hussain Monsur told the FE.
The original MoU was signed between Petrobangla and PTTEP in September 2006.
The PTTEP has already conducted a joint study to find out areas where the two state-linked energy firms could cooperate.
It also examined the gas seepage leakages in Brahmanbaria, operated by state-run Titas.
Although the Petrobangla is yet to plug the Titas-operated gas field's leakage, it has started its own procedure to complete the job.
Currently, Petrobangla has similar deal with the South Korean government along with a consortium of five South Korean companies to boost bilateral cooperation in the energy sector.
Officials said Petrobangla has planned to sign a MoU with Russian oil giant Gazprom soon as part of energy cooperation between Dhaka and Moscow.
A large number of international oil companies (IOCs) are also keen to establish joint ventures with Petrobangla for oil and gas hunt in onshore and offshore hydrocarbon blocks.
Santos of Australia, China National Offshore Oil Corporation (CNOOC), GAIL of India, Daewoo International are among the companies queuing up for signing such agreements.
The foreign companies are now eagerly waiting for the approval of the country's first-ever joint venture policy to be approved, an energy official said.
He said the MoU might clear the way for Bangladesh Petroleum Exploration and Production Company (BAPEX) to explore hydrocarbon in the country's southeastern hilly region under block 22.
The government has decided to tie up with potential foreign state-owned firms to develop four gas structures in the Chittagong Hill Tracts (CHT) under the block -22 area.
The move comes at a time when the country is facing acute energy crisis, with gas demand far-outstripping supply.
Petrobangla said the country would require a further 24 trillion cubic feet (Tcf) of gas and investment worth $7.7 billion in the next 16 years to maintain its 7.0 per cent economic growth rate.
But state energy companies are struggling to mobilise funds to carry out necessary development work.