DHAKA, July 20, 2026 (BSS) – The government is set to undertake a Tk 729.22 crore project to drill one appraisal-cum-development well and two exploratory wells in a fresh initiative to increase domestic natural gas production, reduce dependence on imported fuel and strengthen the country’s energy security.

The draft project titled “Drilling of One Appraisal-cum-Development Well (Begumganj-5) and Two Exploratory Wells (Begumganj-6 and Sunetra-2)” will be implemented by Bangladesh Petroleum Exploration and Production Company Limited (BAPEX), a subsidiary of Petrobangla, under the Energy and Mineral Resources Division.

The project is likely to be placed for consideration by the Executive Committee of the National Economic Council (ECNEC) meeting scheduled to be held on Wednesday with Prime Minister Tarique Rahman in the chair.

Talking to BSS, Petrobangla Chairman Md Abdul Mannan said, “We have taken a decision to drill a total of 150 wells to increase gas supply from domestic sources.”

He said that Petrobangla first carries out 2D, 3D and others necessary work before drilling any well.

As part of the government initiative, Mannan said the energy division had sent the draft project proposal to the ECNEC for its consideration for drilling three wells.

Planning Commission officials said the project is scheduled to be implemented by June 2028 at an estimated cost of Tk 729.22 crore, including Tk 583.37 crore from government financing and Tk 145.85 crore from BAPEX’s own funds.

“If the proposed wells are successfully drilled and commercially recoverable gas is confirmed, the project is expected to add around 35 million standard cubic feet (MMSCF) of natural gas per day to the national grid,” said a senior Planning Commission official.

The official said technical assessments indicate that the three wells together could yield an estimated 711 billion cubic feet (BCF) of recoverable gas reserves.

“At the equivalent value of imported LNG, the estimated market value of the recoverable reserve stands around Tk 120,851 crore, which would help save a substantial amount of foreign exchange while ensuring optimum utilisation of domestic energy resources,” the official added.

The project includes drilling of the Begumganj-5 appraisal-cum-development well to a depth of about 3,550 metres, the Begumganj-6 exploratory well to around 3,400 metres, and the Sunetra-2 exploratory well to approximately 5,300 metres, followed by testing and completion subject to gas discovery.

The Begumganj wells are located in Begumganj upazila of Noakhali district, while the Sunetra-2 well will be drilled in Dharmapasha upazila of Sunamganj district.

Planning Commission officials said BAPEX decided to undertake the project following analysis of geological and geophysical data, including 2D and 3D seismic surveys.

“The proposed drilling locations were finalised by the Geological and Geophysical (G&G) Committee after reviewing seismic data and other geological information,” they said.

The officials noted that the Begumganj structure has already demonstrated encouraging prospects, with Begumganj-3 and Begumganj-4 currently producing about 11.5 MMSCF of gas per day, increasing confidence in the success of the new wells.

The project also includes acquisition and development of about 10.61 acres of land, construction of rig foundations and associated civil works, procurement of local and imported drilling materials and equipment, drilling operations using BAPEX’s own rig for the Begumganj wells, and turnkey drilling of the deeper Sunetra-2 well.

According to the project document, a feasibility study was conducted in 2025 by the Infrastructure Investment Facilitation Company (IIFC).

Planning Commission officials said the project’s financial and economic analyses also support its implementation. Based on a 12 percent discount rate, the project has a financial internal rate of return (IRR) of 14 percent and an economic IRR of 20 percent, while the benefit-cost ratio stands at 1.09 financially and 1.50 economically.

The Planning Commission observed that successful implementation of the project would significantly enhance BAPEX’s exploration capability, increase domestic gas reserves and contribute to the country’s long-term energy security and economic growth.

“The project is also aligned with the government’s election manifesto, which places emphasis on strengthening BAPEX and intensifying both onshore and offshore gas exploration to ensure efficient utilisation of domestic resources,” the officials said.

They added that the initiative would also contribute to achieving Sustainable Development Goal (SDG) 7.1, which aims to ensure access to affordable, reliable and modern energy for all.

The Planning Commission has recommended the project for ECNEC approval, saying it would play an important role in reducing reliance on imported energy and meeting Bangladesh’s growing demand for natural gas through increased domestic production.