Bangladesh has reached a significant non-binding agreement with US firm Argent LNG to secure an annual supply of up to 5 million tonnes of liquefied natural gas (LNG), Reuters reported, citing a company statement.
This deal represents the largest LNG supply agreement by a US company since Donald Trump assumed office as US president, reflecting the administration’s pro-energy policies.
Argent LNG is developing infrastructure in Louisiana with the capacity to supply 25 million tonnes of LNG per year.
Under the agreement, once the Port Fourchon project is completed, the company will provide LNG to Bangladesh’s state-owned Petrobangla.
“This agreement will not only ensure a stable energy supply for Bangladesh’s expanding industries but also enhance our strategic partnership with the United States,” said Ashiq Chowdhury, executive chairman of the Bangladesh Investment Development Authority.
Bangladesh has long sought long-term solutions to meet its growing energy needs and increase LNG consumption.
However, the 2022 Russia-Ukraine war led to a surge in global LNG prices, forcing Bangladesh to rely more heavily on coal-based energy.
Upon taking office, Trump lifted a suspension on LNG export licenses for countries that do not have free trade agreements with the US.
This executive order was part of a broader push to expand LNG exports.
According to the US Energy Information Administration, the US is now the world’s leading LNG exporter, with export capacity projected to double by 2028.
