Bangladesh approves long-term LNG supply deal with Summit

Bangladesh has approved a long-term liquefied natural gas (LNG) supply deal with Summit Oil and Shipping, a part of Bangladesh’s conglomerate Summit Group.

Summit Power International confirmed the approval by the cabinet committee on economic affairs in a social media post earlier this week.

Under the deal, SOSCL will supply up to 1.5 million tonnes per year of LNG to state-owned Petrobangla for 15 years, the firm said.

The deliveries are expected to start from October 2026.

Last year, US FSRU player Excelerate Energy signed a 15-year LNG supply deal with Bangladesh’s Petrobangla.

Under the SPA, Petrobangla has agreed to purchase 0.85 to 1 million tonnes per annum of LNG from Excelerate beginning January 2026.

After that, Excelerate agreed to buy LNG from QatarEnergy and deliver it to Bangladesh.

Qatar is already the largest LNG supplier to Bangladesh and QatarEnergy has two long-term LNG deals with Petrobangla.

This deal with Summit is the fourth long-term LNG supply deal for Bangladesh and the first for Summit.

Bangladesh currently imports LNG via its first LNG import facility, Moheshkhali Floating LNG or MLNG, operated by Petrobangla, and via Summit’s FSRU-based terminal.

Both of these facilities feature Excelerate’s FSRUs.

Today, these two FSRUs in Bangladesh deliver about 25 percent of the country’s natural gas supply, according to Excelerate.

In June last year, SOCL also secured approval from the government for its second FSRU-based LNG import terminal in Bangladesh.

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