What is the scope and structure of Bangladesh's long-term LNG deal with Gunvor, and how does it differ from its usual procurement process?

Bangladesh has approved a government-to-government (G2G) LNG supply arrangement with Gunvor covering 117 cargoes through 2038 — comprising 17 cargoes from 2026–2028 and 10 cargoes annually from 2029 to 2038 — bypassing its standard competitive spot tender process. This contrasts with its established Master Sale and Purchase Agreement (MSPA) system, under which 26 pre-qualified international suppliers compete for spot LNG tenders managed by RPGCL, a unit of Petrobangla. The Gunvor deal is notable because it allocates a large, long-term volume outside that transparent, competitive framework, even as Bangladesh simultaneously expands its pool of approved spot suppliers to enhance pricing competition and market access.

What pricing terms were approved for Gunvor’s revised long-term LNG supply, and how do they compare to earlier proposals?

The Bangladesh cabinet committee approved Gunvor’s revised long-term offer on 12 August 2024, after withdrawing an earlier version on 7 August. Under the revised terms, five cargoes will be purchased in 2026, six in 2027, and three in 2028 — all at a premium of $0.0875/MMBtu to a northeast Asian marker, a sharp reduction from the initially proposed $0.875/MMBtu premium. No pricing details were disclosed for the remaining cargoes beyond 2028, nor for the full 117-cargo commitment; only the phased annual volumes and the significantly lowered early-term premium are confirmed in the text.

Bangladesh Secures Long-Term LNG Deal with Gunvor Outside Tender Process

Aug 14, 2026

Bangladesh approved a long-term LNG deal with Gunvor for 117 cargoes through 2038 via a government-to-government route, bypassing standard tenders amid global supply constraints. The agreement addresses shortages caused by geopolitical disruptions in key producing regions.

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Bangladesh Secures Long-Term LNG Deal with Gunvor Outside Tender Process

Bangladesh Secures Long-Term LNG Deal with Gunvor Outside Tender Process

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