Bangladesh has moved to secure emergency fuel supplies from the spot market, approving the import of two liquefied natural gas (LNG) cargoes amid ongoing uncertainty over shipments through the Strait of Hormuz.
The Cabinet Committee on Government Purchase cleared proposals for purchasing the LNG at a meeting chaired by Bangladesh Finance Minister Amir Khasru Mahmud Chowdhury on Wednesday, officials said.
The Energy and Mineral Resources Division had sought approval to import three LNG cargoes through the international Request for Quotation (RFQ) method under the Public Procurement Rules-2025. The committee, however, cleared two cargoes, opting to hold back on the third to reassess market conditions.
Officials said the original proposal for three cargoes carried an estimated cost of Tk 2,112.60 crore, including advance income tax. The approved two cargoes will cost about Tk 1,409 crore.
Briefing reporters after the meeting, the Cabinet Secretary said the evolving crisis around the Strait of Hormuz has created “a significant challenge” for Bangladesh’s energy supply chain, with disruptions affecting deliveries under long-term contracts.
“In several cases, suppliers are invoking force majeure due to the war situation, which means shipments are being delayed beyond their control,” he said, explaining the government’s increased reliance on spot purchases.
The government is seeking to secure immediate supplies for late June and early July, a critical window given the lead time required for LNG cargo delivery and regasification.
A decision on the third cargo has been deferred as authorities track global price movements. With LNG prices showing a softer trend in recent days, officials believe waiting could help avoid higher costs if contracted cargoes resume or the market stabilises.
“Public money is a key consideration. We are watching the market before taking a further call,” the Cabinet Secretary said.
He added that spot LNG prices are determined based on international benchmarks and recent price averages.
While expressing cautious optimism that the global energy market may gradually stabilise, he noted that the latest disruptions have underscored the vulnerability of Bangladesh’s import-dependent energy system and the need for a strategic reassessment to better withstand external shocks.