Govt boosts domestic gas production to curb imports

Bangladesh has added nearly 148 million cubic feet (MMcf) of gas per day to the national grid through the completion of 32 new and renovated wells over the past seven months, as the government intensifies efforts to bolster energy security, curb import dependence and expand domestic production.

The government has set an ambitious target of drilling 150 wells by 2031, to be followed by another 150 during 2031-35. Of the 32 wells completed so far, Sylhet Gas Fields Limited has delivered 14, the Bangladesh Petroleum Exploration and Production Company 11 and Bangladesh Gas Fields Company Limited seven. Although the initial estimate was 134.4 MMcf daily, output has climbed to about 147.9 MMcf, largely because the Habiganj-5 well has outperformed expectations. A further seven wells are under construction and are expected to contribute another 96 MMcf per day once completed around January, while 19 projects are in progress and nine others, covering 31 more wells, await approval.

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However, experts caution that higher output alone will not resolve the shortage unless transmission and processing infrastructure is expanded in tandem. Roughly 60 MMcf from completed wells cannot currently be fed into the grid owing to transmission bottlenecks and processing-plant constraints. Against daily demand of about 3,800 MMcf, supply stands at around 2,600 MMcf, leaving a shortfall exceeding 1,000 MMcf, of which domestic sources provide about 1,600 MMcf and costly LNG imports 900-1,000 MMcf. Meanwhile, the government has launched the Bangladesh Offshore Bidding Round 2026, offering 26 offshore blocks, 11 shallow-water and 15 deep-sea, to attract international investment. Petrobangla Chairman Md Abdul Mannan said drilling new wells, rehabilitating existing ones and building timely transmission infrastructure remain top priorities for energy security and for reducing reliance on imported gas.