Govt plans to drill, rework 58 wells by 2031 to bolster energy security, minister tells parliament

The government plans to drill and carry
out workover operations on 58 oil and gas wells between 2028 and 2031 as part
of a long-term strategy to strengthen Bangladesh's energy security, Power,
Energy and Mineral Resources Minister Iqbal Hassan Mahmood told parliament
today (7 June).
Responding to a question from Gazipur-5
MP AKM Fazlul Haque Milon regarding the government's future energy security
plans, the minister outlined a series of initiatives aimed at boosting domestic
exploration, diversifying fuel imports and expanding storage capacity.
Iqbal said the 2028-2031 programme
includes drilling and workover activities in 58 wells, with new drilling
locations to be identified based on data obtained from ongoing seismic surveys.
To enhance the capacity of state-owned
exploration company Bangladesh Petroleum Exploration and Production Company Ltd
(Bapex), the government will procure, test and commission a 1,500-horsepower
drilling rig, he added.
The minister also highlighted offshore
exploration plans, noting that a bid notice for the Bangladesh Offshore Bidding
Round 2026 was published on 24 May covering 26 offshore blocks, including 15
deep-sea and 11 shallow-water blocks.
Successful implementation would enable
2D and 3D seismic surveys and gas exploration drilling in both deep and shallow
offshore areas, he said, adding that plans are also underway to launch new
onshore bidding rounds.
As part of efforts to expand LNG
infrastructure, the government intends to establish a floating LNG terminal at
Kutubjom in Moheshkhali, Cox's Bazar, alongside a land-based LNG terminal in
Moheshkhali, he mentioned.
Iqbal said the government aims to reduce
overall system losses to 6% and expand the national gas transmission network
through several major pipeline projects.
These, he added, include connecting
Bhola's gas fields to the national grid, constructing the
Barishal-Aminbazar-Khulna gas pipeline, building the Feni-Begumganj
transmission pipeline, and determining modalities for a third parallel
Moheshkhali-Bakhrabad gas pipeline.
The minister said Bangladesh Petroleum
Corporation (BPC) has undertaken multiple projects to modernise fuel operations
and ensure uninterrupted supply.
Key initiatives include the Single Point
Mooring (SPM) project, the India-Bangladesh Friendship Pipeline, the Chattogram-Dhaka
Pipeline project and the Jet A-1 pipeline linking Pitalganj and Kurmitola
Aviation Depot, he noted.
To strengthen supply security, the
government is also pursuing diversification of fuel import sources through
government-to-government agreements, international tenders, supplier
enlistment, requests for international quotations and, where necessary, direct
procurement, Iqbal stated.
He said the government has adopted a
broad range of long-term measures in response to rising energy demand and in
line with Sustainable Development Goal 7 on affordable and clean energy; among
the most significant targets is raising the country's fuel security coverage to
90 days.
He noted that Bangladesh's fuel storage
capacity has increased from 693,990 tonnes to 1,572,503 tonnes over the past 25
years, an expansion of nearly 895,000 tonnes.
Over the same period, approximately 620
kilometres of fuel pipelines have been installed through projects including the
Dhaka-Chattogram pipeline, the SPM system and the India-Bangladesh Friendship
Pipeline, he said.
"Under the medium-term plan for
2028-29 and 2029-30, the government is identifying potential sites and projects
to add another 190,000 tonnes of storage capacity. A longer-term plan covering
2026-2035 aims to expand storage capacity by an additional 1.94 million tonnes."
The minister also said a development
project proposal for the modernisation and expansion of Eastern Refinery Limited
was approved on 10 February 2026.
He said the project will increase the
refinery's processing capacity from 1.5 million tonnes to an additional 3
million tonnes annually. Preparatory work is underway to appoint project
management and EPC contractors, he added.
In addition, construction is ongoing on
a 15-kilometre Jet A-1 pipeline from Pitalganj to the Kurmitola Aviation Depot
to improve aviation fuel transportation, he told parliament.
















