Petrobangla to count capacity payment for few more weeks

Petrobangla is unlikely to utilise the full capacity of the floating LNG import terminal and its re-gasification facility before next few weeks due to the scarcity of imported LNG.

But the state-run oil and gas corporation would have to continue counting 'capacity payment' to the US's Excelerate Energy no matter whether it uses full capacity or not, said a senior Petrobangla official on Saturday.

The long-awaited Anwara-Fouzdarhat gas transmission pipeline went functional on November 27 last. But it has been carrying a very small quantity of re-gasified LNG (liquefied natural gas), around 25 million cubic feet per day (mmcfd).

"We requested the supplier Qatar's RasGas to provide two additional LNG consignments after the commissioning of the pipeline, but they declined," an official of the state-run Rupantarita Prakritik Gas Company Limited (RPGCL) said.

He, however, said it is an international practice that the LNG suppliers must have to be informed about any additional requirement, at least three months ahead of actual date of delivery.

But Petrobangla sought additional LNG cargo from RasGas only a week ahead of the requirement, the official added.

It was because the state-run Gas Transmission Company Limited (GTCL) could not confirm the commissioning date of the Anwara-Fouzdarhat pipeline beforehand, he alleged.

"Had we been informed of the commissioning date, we could have arranged gas by importing additional volume of LNG from Qatar's RasGas," he added.

He, however, said that the re-gasification of LNG would increase with the increased supply of LNG from RasGas.

Earlier on November 27, the gas supply through the Anwara-Fouzdarhat transmission pipeline had to be suspended only four hours after its commissioning due to a scarcity of re-gasified LNG.

Officials said the Petrobangla has been counting 'capacity payment' to Excelerate Energy owing to its failure to re-gasify less than the 'agreed' quantity of LNG since commissioning of the FSRU (floating, storage, regasification unit).

The non-completion of the 30-kilometre pipeline in time has forced Petrobangla to count substantial capacity payment of around $237,000 (Tk 20.14 million) per day-no matter it utilises the full capacity of FSRU or not.

The FSRU - Excellence-has the capacity to re-gasify around 500 mmcfd equivalent of LNG a day, the official said.

The state corporation could so far utilise a maximum of 65.6 per cent capacity of the FSRU by re-gasifying 328 mmcfd, a senior Petrobangla official said.

The rest of the capacity of the vessel remains unused.

Excellence arrived at Moheshkhali terminal carrying the country's first LNG on April 24.

But it got connected to the subsea pipeline network on August 05, and commenced injecting the first re-gasified gas on August 12.

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