Bangladesh to Invite Tender for Two Gas Blocks

Petrobangla has decided to invite tenders by end October to allot offshore blocks which would include two discovered gas fields at Kutubdia and Teknaf.

As per the deal, the companies will have to give up five per cent of the produce to Petrobangla. 

Kutubdia and Teknaf, so long reserved for exploration by Bapex, a Petrobangla subsidiary, would be open to bidding by international oil companies under Bangladesh Offshore Bidding Round 2012, New Age newspaper reported government officials as saying.

The IOCs have to sign separate contracts with Petrobangla for getting Kutubdia and Teknaf requiring them to give up five per cent of the produce to Petrobangla, said an official.

When asked why Petrobangla decided to allot Kutubdia and Teknaf to IOCs, though the sites were so long reserved for Bapex, the offcial said that the small reserves there would not make them commercially viable.