A US-based internationally focused energy development company seeks to supply liquefied natural gas (LNG) to Bangladesh for a 20-year period, officials say.
In exchange, Linden Energy assures Dhaka of lobbying Washington to secure zero-tariff/lower-tariff entry of Bangladeshi items, including garment, to the US market.
The Houston-based firm has recently placed its proposal in Bangladesh embassy there to this end.
The mission has conveyed the proposal in a letter to power, energy and mineral resources ministry.
Linden has also proposed that a sovereign guarantee be arranged for the deal through appropriate credit institutions, reads the letter.
"This will involve construction of an offshore LNG terminal by a leading US company and the supply of 4.0-million tonnes LNG per annum by another leading company," it says.
Given the tariff concessions for Bangladeshi exportables like apparel, the embassy has sat in a series of meetings with Linden to examine its offer.
LNG supply by Linden at a fixed rate may help Bangladesh avoid any price volatility, it views.
The embassy, however, doubts the chance of tariff-free entry of Bangladeshi goods into the US to be facilitated by the firm.
"While the tariff-free access of ready-made garment is highly desirable, we are not quite sure of their ability to secure such concessions."
To start negotiations with US companies, financing agencies and also lobby for tariff concessions of Bangladeshi goods, the embassy say, Linden has proposed to sign a letter of intent (LoI).
The Bangladesh embassy has sought the ministry's opinion on the proposed LoI.
"If our legal experts/competent authorities confirm that the mere signing of the LoI won't create any legally-binding obligation, we may consider it to help Linden commence its exploratory work."
"We have received a letter from the Bangladesh mission in Washington DC. We are working on the issue," said a ministry official.
Founded in 2013, Linden Energy has project under consideration in Europe, Eastern Europe and South Asia.
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