7 IOCs buy tenders to join in bidding for oil, gas exploration in Bay of Bengal

Seven international oil companies (IOCs) have shown keen interest in Bangladesh's tender inviting bids to explore oil and gas in the Bay of Bengal, said State Minister for Power, Energy and Mineral Resources Nasrul Hamid on Wednesday (May 8).

Many foreign companies have shown keen interest to go for exploration in the Bay of Bengal. Representatives of as many as 15 IOCs attended a seminar on 'Bangladesh Offshore Bidding Round 2024,' held at Pan Pacific Sonargaon Hotel in Dhaka today, he told reporters after attending the first session of the seminar.
Nasrul Hamid said the government is trying to hand the blocks by next year to the winner of the bidding.

Onshore exploration bidding will also be held, he said.

According to the state minister, it may take six to seven more years to generate gas after completing the entire process.

State-run Petrobangla organised the seminar to explain the incentives it will offer to the IOCs which will take part in the bidding.

Petrobangla floated an international tender for offshore oil and gas exploration after the approval of the new model public sharing contract on March 10 last.

Nine of the blocks mentioned in the tender are in the shallow sea and 15 in the deep sea. The submission deadline for bidding documents is September 9. The documents will be opened in front of selected representatives the same day.

More than 40 representatives of 15 contractor firms attended the seminar.

They included National Petroleum Limited or Petronas, ExxonMobil, Chevron Corp, INPEX Corporation, Japan Organization for Metals and Energy Security or JOGMEC, Chris Energy, Oil and Natural Gas Corporation, China National Offshore Oil Corporation and Italian company Eni.

International oil and gas company TGS-Schlumberger presented various data from their multi-client survey at the event.

Chevron, a major company engaged in oil and gas extraction and exploration in mainland Bangladesh, also shared its experience in drilling wells and conducting business in the region.

Mentioning the number of representatives at the seminar, Nasrul Hamid said: "Today's programme proves global oil giants' interest in Bangladesh offshore oil and gas exploration. Seven companies have bought our bidding documents and multi-client survey results."

Chevron has been working in gas exploration in Bangladesh since 1995. At present, the company supplies 55 per cent of the country's total daily gas production from three gas fields in Moulvibazar and Habiganj. It is also interested in participating in offshore gas exploration.

A total of 24 offshore blocks -- 15 in deep water and 9 in shallow water -- have been offered in the bidding round to be closed on September 9.

Adviser to Prime Minister Dr. Tawfiq-e-Elahi Chowdhury and State Minister Nasrul Hamid were present as the chief guest and special guest respectively at the seminar.

Chairman of Parliamentary Standing Committee on Power, Energy and Mineral Resources Ministry Ziaur Rahman, Petrobangla Chairman Zanendranath Sarkar also spoke on the function.

Energy secretary Md Nurul Alam presided over the seminar.

Later, foreign participants joined answers and questions lively. They also showed their interest in Bangladesh's energy and its future activities.

END/SZA