Asia spot LNG prices have since shed 46% from their record highs amid firm inventory levels in North Asia and a mild European winter, prompting buying interest from emerging gas markets in Asia. RPGCL, a subsidiary of Petrobangla, earlier this week received its first U.S.-loaded LNG cargo since mid-2022 via its first tender, which was awarded to TotalEnergies at $19.74 per million British thermal units (mmBtu), officials said. The second tender was awarded to JERA, Japan's biggest power generator, at $16.50 mmBtu, two Petrobangla officials said. The South Asian nation of 170 million people relies on imported natural gas for nearly three-quarters of its power generation, but was forced to ration gas supplies last year as global prices were driven up by Russia's war in Ukraine. Bangladesh's LNG imports in 2022 fell 14% from the previous year, according to Kpler, which drove down power output while demand was rising. Analysts say the crisis is likely to worsen this year because of an acute shortage of gas. An official in Bangladesh said this month it would buy 10-12 spot LNG cargoes between February and June if prices soften further, while also seeking long-term supplies from other sources, including Brunei LNG.
"The government is making frantic efforts to ensure gas supplies to keep the economy running," a senior Petrobangla official said.
Bangladesh currently imports about 300 million-400 million
cubic feet of LNG daily through a 10-year import deal with Oman
and a 15-year deal with Qatar.
(Reporting by Ruma Paul; Editing by Jan Harvey)
