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While it’s quiet this article is worth a read,it’s Muhammad Fouzel being interviewed a couple of yrs before becoming energy minister…….it’s quite prophetic on how he has dealt with the problems since becoming minister,and he specifically mentions the lack of a coal policy,which he has promised will now be completed by December this year……….apologies to those that have read it

Q : Many experts say that Bangladesh's energy sector has been made dependent on imports. Almost all the energy required for power production has to be imported and this stands as a threat to our energy and power security. How do you view this?

This allegation is partially true. There has been no visible effort made to explore natural gas. There have been no visible efforts to use renewable energy. Another failure is the reluctance to use the country's own coal resources and to finalise the coal policy. As a result, the energy sector's dependence on imports has increased. Then again, many countries of the world, such as South Korea, are over 90 per cent dependent on imports for their energy. So fuel import is not the problem, the problem is in the price and process of import. Take the import LNG for instance. Instead of having a land-based LNG terminal, why has LNG been imported by means of vessels (FSRU or floating storage regasification unit)? If there was a land-based LNG terminal, then the fluctuation of the gas price could be somewhat controlled. A study by the research organisation Keystone for the Dhaka Chamber revealed that the price of gas imported through FSRU and the vessels costs are all much higher than in India and the same as in Pakistan. As we do not have adequate energy and if we keep up our power generation and industrial production, we will have to import fuel, but that must be done at competitive prices.

https://en.prothomalo.com/opinion/interview/zrkkanwbav

Working under the coal mine development MOU with Power Construction Corporation of China, Ltd. ("PowerChina") Asia Energy, a wholly owned subsidiary of GCM resources, has signed a contract with PowerChina International Group Limited covering mine development works of approximately US$1 billion necessary to facilitate coal extraction at the Phulbari Coal and Power Project ("the Project"). The advancement of this Contract is subject to receiving the approval of the Scheme of Development for coal mining submitted to the Bangladesh Government under the terms and conditions of its Contract for "Exploration and Mining Coal in Northern Bangladesh".

The scope of works under this Mine Construction Contract includes design, procurement, installation, construction and commissioning of mine infrastructure and overburden removal, dewatering and drainage. It also includes selective mining and stockpiling of valuable industrial mineral co-products that occur in the overburden. These co-products are expected to deliver considerable cashflow for the Project ahead of any coal extraction. The mine development is now heading in the direction of contract mining which means that the mining is carried out by an experienced mining contractor utilising their own resources and mining equipment resulting in reduced technical risk and start-up capital expenditure requirement.

The Mine Construction Contract duration is four years, with overburden removal to expose first coal taking some two years. The Company and Power China expect to enter additional contracts covering coal extraction and associated activities to support ongoing open pit mining operations and the Project's commitment to deliver high quality coal supporting at least 6,600MW power generation for over 30 years. A joint proposal with development partner, PowerChina, has been presented to the Bangladesh Government.

The Mine Construction Contract was entered into on 9th March 2024, however, issuance of a Notice to Proceed with the works is dependent on the Company receiving the necessary approvals from the Bangladesh Government and achieving financial closure.

PowerChina is committed to assist with project financing.

Coal Supply Expressions of Interest

Expressions of Interest to purchase Phulbari's coal were received from Bangladeshi Power Producers. The Chinese Ambassador has stated China's intent to assist in expanding and upgrading Bangladesh's rail infrastructure which would also enable easier transportation of surplus Phulbari coal to existing Power Plants.

The annual coal requirement is forecast to soon reach 36 million tonnes, there is scope too, to eventually extend the Phulbari Open Pit Operations into the Barapukuria field. Phulbari's expected annual production of 15 million tonnes could deliver over 40% of that requirement.

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