Under this MoU, PETRONAS LNG Ltd and Global LNG Sdn Bhd of Malaysia and Bangladesh Oil, Gas and Mineral Corporation of Bangladesh, or PETROBANGLA, are the designated entities in supplying the LNG.
Both sides are expected to sign a Commercial Contract soon, stipulating details of LNG supply under the guiding terms of the MoU, the foreign ministry said in a statement on Tuesday.
Mustapa Mohamed, Malaysian minister in the Prime Minister’s Department (Economy), and Nasrul Hamid, state minister for power, energy and mineral resources of Bangladesh, signed the MoU in a virtual arrangement.
Both of them described the signing of the MoU as an “important milestone” in the bilateral relations.
Besides increasing the activities to explore more natural resources, Bangladesh also needs to prioritise the import of LNG because 3,150 million cubic feet of gas will be required per day for power generation in 2041, the state minister said.
“Electricity and fuel are key to building a flourishing Bangladesh. So the government is prioritising the security of fuels.”
He also noted that the construction of a floating storage regasification unit or FSRU and a land-based LNG terminal was in progress.
Bangladesh High Commissioner to Malaysia Md Golam Sarwar, and High Commissioner of Malaysia to Bangladesh, Ms Haznah Md Hashim, also joined the event.