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Gas crisis is intensifying, necessary measures must be taken

AB Siddique :

There is an acute gas crisis in industrial factories, household electricity everywhere. Stoves do not burn for gas, industrial wheels do not turn and electricity production does not increase. According to Petrobangla’s report dated 16 January/2024, 470.4 million cubic feet was supplied against 2,240.9 million cubic feet (MMCF).

That is, only 34 percent of the demand is being supplied. At present gas is produced from 113 wells. Their capacity is 3 thousand 760 mmcf. Demand in the power sector is 2,240.9 mmcf, against which 791.1 mmcf is being supplied. The demand at the fertilizer plant is 379 mmcf against which the supply is 209 mmcf. Here goes the calculation of supply against daily demand.

According to the Economic Survey/2023, Khatwari gas demand in the financial year 2021-22 was 40 percent for electricity, 19 for industry, 17 for captive power, 13 for household, 4 for CNG, 6 for refineries, 1 for commercial and 0.10 percent for tea plantations. In the last year 2022, the production of gas has been shown to be 1 thousand 80.4 billion cubic feet. So far gas production has been 19.94 trillion cubic feet (tcf). Probable reserves till 2023 are 8.68 TCF. The demand for fuel gas is increasing gradually.

The Ministry of Energy and Mineral Resources also gave an estimate of the increase in demand. It has been said that the demand was 4 thousand 787 mmcf in the year 2023 which is 4 thousand 932 mmcf in the current year 2024, 5 thousand 79 mmcf in the next year 2025 and 5 thousand 257 mmcf in 2026. At present the recoverable gas reserve is 8 TCF.

The country experienced a severe gas crisis when 6 out of 26 wells stopped production earlier this month due to technical faults in Bibiana, the currently top-producing gas field. According to Hydrocarbon Unit data, 2,352 million cubic feet of gas was produced per day in 2021 from 3 state-owned and 2 international company-operated gas fields.

But in 2016, 2 thousand 666 million cubic feet of gas was produced in the country every day. In this situation, the information of Bangladesh Oil, Gas and Mineral Corporation (Petrobangla) says that the country has gas reserves for use only for 9-10 years. The country’s annual gas consumption is about 1 trillion cubic feet.

The country’s gas is mainly used in the production process of power generation, fertilizers and other industrial plants and for cooking in homes. Declining gas production is a concern for the country’s energy security. The government is talking about aggressive exploration for new gas fields and wells.

The government did not conduct gas exploration properly. Therefore, gas fields may still remain undiscovered in many places. It is true that gas field reserves are gradually depleting.

This is called “Natural Diffusion”. It is mining geology Depending on the characteristics, formation and technical maintenance.”More gas can be extracted by properly maintaining the well. This has not been done in most gas fields. We have also seen that gas has subsequently been found in wells that were declared abandoned.

‘The government commissioned a consultant to produce a report in 2011 titled ‘Suggestions to Increase Gas Production’. But they did not follow the recommendations of that report. The recommendations called for emphasis on risk-based approach to optimal utilization of resources, maintenance or overhauling of existing wells.

It was also said to give priority to gas exploration in coastal areas and mountainous areas. At least 40 wells can be expanded with an investment of about $125 million and can produce 400-800 million cubic feet of gas per day. But it is also heard that the government has not done so. The government has focused more on importing liquefied natural gas (LNG) than investing in new well exploration.

In view of the situation, we don’t want to explore for gas, but we want to overcome the gas crisis by importing LNG at a higher price. For example, well number 9 of Rashidpur gas field in Habiganj is ready for extraction from 2016. But it has not yet started. Criticizing the government for not yet extracting gas from Bhola and Chatak (East) gas fields, Shamsul Alam said, ‘The current government has no achievements in the exploration sector. We are still reaping the fruits of the initiatives taken by the government in 1996.

Production of most gas fields has decreased. Energy experts believe that not all gas fields have been discovered in Bangladesh yet. The authorities concerned have drilled only 28 exploratory wells in the last 20 years. This number is very low for a country that has the potential to have hydrocarbons.’ Gas is found in 1 out of every 3 wells drilled in the country. Whereas the rest of the world has an average of 1 in 5.

There are 40 abandoned wells in our country. If we invest in overhauling them, we can produce residual gas from them and reduce LNG imports to some extent. In this regard, the government should take projects on a priority basis. Two international studies say that there are at least 32 and 42 trillion cubic feet of gas under the soil of Bangladesh. The government should investigate this gas. It should be remembered that the country’s economy is dependent on fuel gas.

(Author: Journalist.)