Bangladesh Secures 13-Year LNG Import Deal with US Firm Gunvor Worth Tk 715 Billion

Dhaka, July 29, 2026 — The Bangladesh government has approved a landmark 13-year LNG import deal with US-based private entity Gunvor USA LLC, securing 78 cargoes of liquefied natural gas worth approximately Tk 714.95 billion based on current market valuations. ⛽ The deal, approved in principle by the Cabinet Committee on Economic Affairs on July 28, 2026, represents one of Bangladesh's largest long-term energy procurement agreements and comes at a critical time when the country is grappling with an acute gas crisis affecting industrial production. 🏭

📊 The meeting, chaired by Minister for Finance and Planning Amir Khasru Mahmud Chowdhury, approved the proposal submitted by the Energy and Mineral Resources Division. Petrobangla, the state-owned oil, gas and mineral corporation, will be the implementing body for this procurement under a government-to-government (G2G) framework. 🏛️

💰 Deal Structure and Supply Timeline

📋 The LNG import deal with Gunvor USA LLC has the following key parameters:

• 📅 Duration — 13 years, from 2026 to 2039
• 🚢 Total cargoes — 78 LNG cargoes over the contract period
• 📊 Annual supply — 6 cargoes of LNG per year
• 💰 Estimated value — Tk 714.95 billion (based on current market valuations)
• 🏁 Commencement — imports to begin in 2026, with Gunvor's LNG vessels expected to arrive starting September 2026

⛽ The Energy and Mineral Resources Division stated that the government aims to ensure an uninterrupted gas supply to meet the country's existing and growing demand, which necessitates additional LNG imports beyond existing contracts. 📈

🌐 Petrobangla's Existing LNG Portfolio

📊 In the proposal submitted for approval, the Energy and Mineral Resources Division noted that Petrobangla currently holds seven active agreements with five entities across multiple countries:

• 🇺🇸 United States — existing LNG supply agreements
• 🇶🇦 Qatar — long-term LNG supply from RasGas/QatarEnergy
• 🇴🇲 Oman — LNG supply from Oman LNG
• 🇸🇦 Saudi Arabia — LNG supply agreements

🏭 LNG is currently being imported under these short- and long-term contracts. The new deal with Gunvor USA LLC will supplement the existing portfolio, providing additional supply security for Bangladesh's industrial and power generation sectors. ⚡

⚖️ G2G Framework and Legal Questions

🔍 The deal has raised some legal questions because G2G agreements typically take place directly between governments, with no standard provision for entering a G2G contract with a private firm. Virtually all commercial entities in the United States are privately owned, and Gunvor USA LLC is likewise a private corporation. 📋

⚖️ When contacted by Prothom Alo, Minister for Power, Energy and Mineral Resources Iqbal Hassan Mahmood Tuku addressed this concern:

"Gunvor may not be granted the full 13-year term immediately. Gunvor's LNG vessels are scheduled to arrive starting two months from now, in September. We will evaluate their performance first before deciding whether to commit to the 13-year arrangement."

📊 This phased approach suggests the government is adopting a cautious strategy — testing Gunvor's reliability before committing to the full 13-year term. The minister's statement indicates that the initial supply will begin in September 2026, with the long-term commitment subject to performance evaluation. 🎯

🔥 Context: Bangladesh's Energy Crisis

⚠️ The LNG deal comes at a critical time for Bangladesh, which is experiencing an acute gas crisis that has severely affected industrial production. The crisis was triggered by the shutdown of an LNG terminal in Moheshkhali, leading to:

• 🏭 50% production cut at textile mills across the country
• 👕 Disrupted RMG production — garment factories facing zero PSI gas pressure
• 📦 Export shipment delays — international buyers' deadlines at risk
• ⚡ Power generation constraints — affecting both industrial and residential supply

🏭 Industry bodies including BGMEA, BKMEA, and BTMA have escalated the crisis to Prime Minister Tarique Rahman, seeking urgent government action. The crisis is expected to continue until August 8, 2026, after which gas supply is expected to return to normal. 📅

🔮 Strategic Importance for Bangladesh Energy Security

🌐 The 13-year LNG deal with Gunvor USA LLC is strategically significant for several reasons:

• 🔒 Supply diversification — adds another supplier to Bangladesh's LNG portfolio, reducing dependence on any single source
• 📊 Long-term security — 13-year commitment provides predictable supply through 2039
• 🏭 Industrial support — ensures gas availability for the export-oriented textile and RMG sectors
• ⚡ Power generation — supports Bangladesh's growing electricity demand
• 🇺🇸 US-Bangladesh trade — strengthens energy cooperation with the United States

📈 However, the legal questions surrounding the G2G framework with a private US firm remain unresolved. The government's phased approach — evaluating Gunvor's performance before committing to the full term — suggests an awareness of these complexities. If the deal proceeds as planned, it will significantly enhance Bangladesh's energy security and support the country's industrial growth trajectory in the coming decade. 🚀

📋 The approval also comes as Bangladesh's existing FSRU (Floating Storage and Regasification Unit) infrastructure faces operational challenges. The government has committed to installing two additional FSRUs to improve gas supply, as announced during the BTMA meeting with the Prime Minister. Together with the Gunvor LNG deal, these measures represent a comprehensive strategy to address Bangladesh's medium-to-long-term energy needs. ⛽