The government has approved the import of an additional 100,000 tonnes of diesel to meet urgent domestic energy demand against a backdrop of heightened geopolitical instability in the Middle East.
The decision was cleared on Thursday at a meeting of the Cabinet Committee on Government Purchase (CCGP), chaired by Finance Minister Amir Khosru Mahmud Chowdhury, held at the National Parliament complex.
According to officials, the diesel will be procured through a direct purchase method from Majeda Oil Company Limited at a total cost of Tk 17.57 billion (Tk 1,757.94 crore).
The shipment will consist of EN590 10ppm-grade diesel, a low-sulphur fuel widely used for transport and power generation.
The Ministry of Finance said the move comes in response to volatile global energy markets triggered by ongoing conflict involving Iran and the United States-Israel axis, which has disrupted supply chains and heightened uncertainty in fuel availability.
The proposal for the purchase was placed by the Energy and Mineral Resources Division, citing the need to ensure uninterrupted fuel supply in the country.
The latest approval follows a series of recent measures aimed at strengthening Bangladesh’s fuel procurement process.
On April 21, the Cabinet Committee on Economic Affairs decided to shorten the international tendering timeframe for refined fuel imports by Bangladesh Petroleum Corporation (BPC) from 42 days to just 10 days to accelerate procurement during emergencies.
At the same meeting, the government also granted in-principle approval for another 100,000 tonnes of EN590 10ppm diesel to be imported from Archer Energy LLC through direct procurement under an international purchase framework. That purchase was later finalised at a cost of Tk 6.74 billion (Tk 674.60 crore).
Energy analysts say the shift towards faster procurement and direct purchase mechanisms reflects the government’s attempt to navigate an increasingly uncertain global fuel market while ensuring stable domestic supply amid rising demand.
Energy exploration projects approved to boost domestic reserves
In a parallel move, the CCGP approved several major energy exploration projects aimed at strengthening Bangladesh’s domestic gas and oil reserves.
The committee also cleared multiple drilling projects under state-run Bangladesh Petroleum Exploration and Production Company Limited.
Under a BAPEX project, two exploration wells—Srikail Deep-1 and Mobarakpur Deep-1—will be drilled as part of a three-well programme that also includes Fenchuganj South-1.
The turnkey contract for the two wells has been awarded to China’s CNPC Chuanqing Drilling Engineering Company Ltd. at a cost of Tk 713.64 crore.
In a separate decision, the committee approved drilling of the Sylhet-12 oil well under another turnkey project.
The contract has been awarded to Sinopec International Petroleum Service Corporation at a total cost of Tk 232.07 crore, covering drilling and associated auxiliary works.
Officials said the initiatives are expected to play a key role in boosting domestic energy production and reducing reliance on imported fuel by accelerating exploration in deeper, largely untapped zones.
The approvals underscore the government’s continued focus on expanding the country’s energy base through advanced exploration activities.