Chevron Bangladesh has secured approval for the expansion of the Bibiyana gas field on its northern flank, augmenting the existing contract zone by 60 square kilometres.
Senior secretary of the Energy Division Mahbub Hossain disclosed the development while addressing a function to celebrate the US oil giant’s 25th year of operations in Bangladesh at the InterContinental Hotel on Tuesday.
“The government has approved Chevron’s proposal to allow Chevron to add a 60-square-kilometre “flank” area outside its existing contract zone in the north of the Bibiyana gas field,” said Mahbub.
The senior secretary said it may add an additional 1.5 trillion cubic feet of gas to the country’s current stock.
Dr Tawfiq-e-Elahi Chowdhury, Advisor on Energy Affairs to the Prime Minister, Petrobangla Chairman Nazmul Ahsan and Chevron Bangladesh’s managing director Eric Walker also addressed the function.
Chevron is currently producing around 1481.3 million cubic feet of gas per day (mmcfd) from three gas fields -Bibiyana, Jalalabad and Moulvibazar- which is about 60 percent of the country’s total gas production.
The new extended area will be drilled under the same production sharing contract (PSC) now applicable for the three gas fields.
Read: Gas crisis persists as Bibiyana field yet to resume full production
Dr Tawfiq Elahi Chowdhury urged Chevron to participate in the upcoming bidding round for the country’s offshore blocks.
He said Bangladesh wants Chevron’s cooperation to address its energy crisis.
“We want our partnership with the American company to continue,” he said.
Eric Walker, president of Chevron Bangladesh, said the country has been producing and supplying gas for the country safely and reliably.
“We want the partnership with Bangladesh to continue for its development as the country made excellent economic progress,” he added.
Source: United News of Bangladesh