Bangladesh approves Chevron's gas investment plan

The state-run Bangladesh Oil, Gas and Mineral Corporation or Petrobangla approved an investment plan of US energy firm Chevron to explore natural gas, a senior official said.
"We have approved the plan to begin exploration activities in hydrocarbon-rich southern Bangladesh from next week, which will cost about $ 55 mm," said Jalal Ahmed, chairman of the Petrobangla.

The firm, which alone supplies almost 40 % of total gas consumed by the country, will conduct a two-dimensional survey at block-7 that covers both onshore and offshore areas including world's largest mangrove forest Sundarbans.
"The seismic survey is essential for determining gas reserves," Jalal told.

Of total daily gas production totalling nearly 1,825 mm cf, international oil firms supply about 920 mm cf while the rest is produced by domestic firms.
The investment plan was approved after a continuing severe gas crisis halted operations of at least 300 manufacturing firms in southern Chittagong areas despite investment of more than $ 1 bn, officials said.