GBB Power Halts Operations as Contract Expires

The government is preparing to launch an onshore hydrocarbon exploration bidding round after 28 years to address growing natural gas demand. Petrobangla has drafted a Model Production Sharing Contract (MPSC) with more attractive terms for international oil companies (IOCs), linking gas prices to Brent crude at around 8% with a cap.

Linde Bangladesh has declared a 400% final cash dividend for 2024, bringing its total return on investments to an extraordinary 4,500% for the year, marking the highest-ever annual cash dividend in Bangladesh's stock market. The company previously paid 4,100% interim cash dividends, largely due to income from the sale of its subsidiary, Linde Industries Pvt Ltd, for Tk 7.72 billion

North-West Power Generation Company, a BPDB enterprise, is set to develop an 80MW solar power plant in the Padma Bridge project area, aligning with the government’s renewable energy vision. The company signed a 30-year lease with Bangladesh Bridges Authority (BBA) for 180 acres in October 2024, with land handed over the same month.

To meet rising summer demand, Bangladesh's RPGCL has issued tenders for three spot LNG cargoes for April 1-2, 12-13, and 14-15 delivery. Further tenders are possible for April, the hottest month. Each cargo will contain approximately 3.36 million MMBtu.

The interim government has revised the electricity sector subsidy for the 2024-25 fiscal year to BDT 62,000 crore, up from the previously allocated BDT 40,000 crore, marking a 55% increase from the initial budget and a 77% rise compared to the previous fiscal year’s BDT 35,000 crore.

The government has revoked the special benefits granted to United Power Generation and Distribution Company Limited (UPGD), which had been allowed to purchase gas at a lower rate and sell electricity at higher commercial prices, generating significant profits.