Energy Minister Outlines Plan to Drill 150 Wells to Tackle Gas Shortage
The country is currently facing a daily gas deficit of 2,220 million cubic feet (MMCFD), State Minister for Power, Energy and Mineral Resources Iqbal Hasan Mahmud disclosed in Parliament. To address the shortfall, the government has undertaken plans to boost domestic gas exploration and production alongside expanding LNG imports and constructing new terminals. He provided the information while replying to a query from Reserved Seat MP Sabikunnahar during the question-and-answer session of the fourth session of the 13th Parliament on Thursday.
The Energy Minister stated that the daily domestic demand for gas stands at approximately 3,800 MMCFD against an average daily production of 1,580 MMCFD. To ensure energy security, the government is executing short-, medium-, and long-term action plans. He informed the House that 2D and 3D seismic surveys are ongoing in various regions to explore new gas reserves. A master plan has been adopted to drill a total of 150 wells, including four deep wells, by 2030–31. Of these, drilling work for 32 wells has been completed, seven are currently underway, and the remaining 111 wells will be drilled in phases.
Successful implementation of this initiative is expected to yield approximately 1,752 MMCFD of gas daily. Furthermore, international bidding has been invited for offshore oil and gas exploration across 26 blocks, with the submission deadline set for March 31, 2027. Regarding LNG imports, the minister noted that Petrobangla maintains 10 long-term and short-term supply agreements with seven foreign entities, alongside spot market purchases. However, ongoing conflict in the Middle East and the closure of the Strait of Hormuz have disrupted the delivery of 43 LNG cargoes. Initiatives have been launched to procure LNG from alternative sources to mitigate the situation.
He also outlined targets to commission two new LNG terminals, one at Moheshkhali by 2028 with a daily capacity of 600 MMCFD, and another at Matarbari by 2030 with a capacity of 1,000 MMCFD. Once operational, the country’s total regasification capacity will increase to 2,700 MMCFD per day. Feasibility studies are also underway for establishing a new floating terminal in the southwestern region. In addition, a 7-year $350 million financing facility has been secured through three banks under World Bank IDA guarantees to fund LNG imports. The government is also assessing the feasibility of converting unused gas in Bhola into LNG to supply mainland industrial units.
