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Shell, Unocal to increase gas output in Bangladesh
Dhaka, Aug 31: Two western energy firms have agreed to increase daily gas output in Bangladesh by a total of 60 million cubic feet (mcf) to help overcome domestic shortages that have sparked protests, an official said on Saturday.
Dhaka, Aug 31: Two western energy firms have agreed to increase daily gas output in Bangladesh by a total of 60 million cubic feet (mcf) to help overcome domestic shortages that have sparked protests, an official said on Saturday.
The increase by Royal Dutch/Shell Group and US company Unocal Corp was decided at a meeting on Saturday with Bangladesh Oil, Gas and Mineral Corporation (Petrobangla), the Petrobangla official said.
While Bangladesh struggles to meet domestic demand, it is also under pressure from international oil companies (IOCs) and foreign donors to sell gas to India to fund development, but opposition parties oppose rapid exploitation of the country's gas reserves.
A decision rests with Prime Minister Begum Khaleda Zia, officials said.
"Both the IOCs (Shell and Unocal) have agreed to increase their production," the Petrobangla official told Reuters.
He said that by October Unocal would produce 30 mcf gas per day in addition to its production of 140 mcf now, while Shell would add 30 mcf per day by November to its 172 mcf output.
Bureau Report
While Bangladesh struggles to meet domestic demand, it is also under pressure from international oil companies (IOCs) and foreign donors to sell gas to India to fund development, but opposition parties oppose rapid exploitation of the country's gas reserves.
A decision rests with Prime Minister Begum Khaleda Zia, officials said.
"Both the IOCs (Shell and Unocal) have agreed to increase their production," the Petrobangla official told Reuters.
He said that by October Unocal would produce 30 mcf gas per day in addition to its production of 140 mcf now, while Shell would add 30 mcf per day by November to its 172 mcf output.
Bureau Report