QatarEnergy, Petrobangla ink long-term LNG agreement to boost energy cooperation

QatarEnergy, a global energy company from Qatar, has announced a major milestone in its partnership with Bangladesh Oil, Gas and Mineral Corporation (Petrobangla).

QatarEnergy Trading, the LNG trading arm of QatarEnergy, has successfully concluded a long-term LNG Sale and Purchase Agreement (SPA) with Petrobangla, securing the supply of approximately 1.8 million tons per annum (MTPA) of liquefied natural gas (LNG) to Bangladesh.

The agreement, set to span 15 years, will commence in 2026 and marks a significant step towards strengthening energy cooperation between the two nations.

The signing ceremony for the SPA took place at QatarEnergy’s headquarters in Doha and was attended by esteemed dignitaries. Among the witnesses were Saad Sherida Al-Kaabi, the Minister of State for Energy Affairs, who played a vital role in promoting Qatar’s energy sector, and Nasrul Hamid, the state minister for Power, Energy, and Mineral Resources of Bangladesh, reflecting the shared commitment to fostering sustainable energy partnerships.

QatarEnergy signs long-term LNG agreement with Bangladesh’s Petrobangla to boost energy cooperation. Photo courtesy of QatarEnergy.

QatarEnergy has been a reliable LNG supplier to Bangladesh, delivering over 3.5 million tons per annum of LNG to support the country’s energy needs. The new SPA not only cements the enduring collaboration between QatarEnergy and Petrobangla but also reinforces Qatar’s position as the preferred LNG supplier in the South Asia LNG markets.

This strategic agreement reflects Qatar’s continued efforts to enhance global energy security and promote sustainable development through long-term partnerships. By providing a stable supply of LNG, QatarEnergy contributes to Bangladesh’s energy diversification and meets its growing demand for clean and reliable energy sources.

The SPA between QatarEnergy Trading and Petrobangla is expected to unlock significant economic benefits for both countries, ensuring a reliable energy supply, fostering economic growth, and reinforcing longstanding bilateral relations. As QatarEnergy continues to expand its global LNG footprint, this agreement marks another significant step towards securing Qatar’s position as a leading player in the international energy market.

Saad Sherida Al-Kaabi said: “Today, we are proud to be the largest LNG supplier to Bangladesh and Petrobangla by a large margin, delivering more than 3.5 million tons per annum from Qatar to Bangladesh. These supply arrangements reinforce our unwavering dedication to safeguarding the energy security of valued customers like Bangladesh and delivering the reliable energy they require for socio-economic development and prosperity.”