Dhaka: Power, Energy and Mineral Resources Minister Iqbal Hassan Mahmood on Sunday assured that the government would protect national interests in all agreements finalized under the Offshore Bidding Round 2026 process. 'The BNP has always upheld nationalism as its core principle and we are proceeding with this bidding round keeping that spirit in mind so that Bangladesh does not suffer any loss or compromise its interests,' he stated during a press briefing at his Ministry.
According to United News of Bangladesh, the Minister's remarks coincided with the launch of the much-anticipated Offshore Bidding Round 2026, aimed at attracting international oil companies to explore untapped oil and gas reserves in the Bay of Bengal. This initiative is part of Bangladesh's strategy to bolster energy security and reduce reliance on imported fuel. The Minister emphasized the importance of thoroughly analyzing international production-sharing contracts before entering into agreements with foreign entities.
Describing the launch as the beginning of "a new chapter," he highlighted Bangladesh's historical reliance on imported energy, which has left its indigenous resources largely unexplored. This dependency has put pressure on the country's foreign currency reserves. Referring to the last offshore bidding round in 1993 under former Prime Minister Khaleda Zia's government, the Minister noted that the current gas supply from some offshore fields results from contracts awarded during that period, specifically involving US energy company Chevron.
He addressed the lack of exploration activities despite Bangladesh's maritime boundary victories in the Bay of Bengal over the past decade. While neighboring countries have been extracting gas from their offshore blocks, Bangladesh lacks comprehensive knowledge of its own seabed resources. The Minister acknowledged the limitations of the state-owned exploration company BAPEX, which currently lacks the expertise and equipment for deep-sea exploration. However, he encouraged BAPEX to form joint ventures with foreign companies to participate in the bidding process.
The Minister highlighted the government's swift action in proceeding with the bidding round within 180 days of office, fulfilling an electoral commitment. He underscored the potential impact of extracting gas or oil from offshore areas on the country's development and emphasized the crucial role of energy security in sustaining economic growth. He also addressed concerns about possible reserve overlaps or disputes in offshore areas, stating that such issues would be resolved through bilateral negotiations if necessary.
Several international companies have already expressed interest in the bidding round, including firms from the United States and China. The Minister remains optimistic that the mistakes of past rounds will not be repeated, encouraging active participation from investors. Addressing labor-related provisions, he reiterated Bangladesh's commitment to complying with international labor protocols, having signed around 70 such agreements.
State Minister for Power, Energy and Mineral Resources Aninda Islam Amit reiterated that the initiative aligns with the ruling BNP-led government's election manifesto, aiming for greater self-sufficiency in the energy sector. Power and Energy Secretary Mohammad Saiful Islam noted that the government undertook extensive consultations with international oil companies and experts to revise the production sharing contract framework, addressing past limitations and making the bidding process more attractive while safeguarding national interests.