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Tk 340cr boost for Bapex

Allocation okayed to up capacity, for gas supply to Ctg

Star Report
The Executive Committee of the National Economic Council (Ecnec) yesterday approved a Tk 340 crore project that would help Bapex increase its oil and gas exploration capability and Bakhrabad Gas Field Company to boost gas supply to Chittagong within two years.
Chaired by Prime Minister Sheikh Hasina, Ecnec at a meeting at NEC auditorium also approved a Tk 274.97-crore district road development project in Barisal andTk-224.98 crore district road development project in Rajshahi zone.
Sources said the around 40-minute-long meeting discussed Bapex and Bakhrabad project under the tide of Exploration and Production Capacity Building.
The prime minister expressed her will to revitalise Bapex's strength and activities and emphasized fast implementation.
Under the project, the Bakhrabad Company along with Bapex will build a 65-kilometer 10-lnch pipeline from the recently developed Semutang gas field up to Chittagong. This pipeline would increase gas supply to Chittagong by 20 million cubic feet per day by June 2010.
The tender for the pipeline scheme, which involves a cost of Tk 140 crore, would be completed by June and by June next year construction materials would be mobilised
to the project location to complete installation within next 12 months.
The other component of the project deals exclusively with Bapex with a budget ofTk 200 crore. A major part of this money will be spent for purchasing seismic equipment, drilling machine, communication equipment and replacement of the existing work over drilling rig. Bapex's existing work over rig T80 was procured in 1981-82 and is almost non-functional.
"In addition, Bapex will purchase some exploration support equipment, laboratory tools, computer hardware and software and satellite tracking system." says a source.
Planning Minister Air Vice Marshal (retd) AK Khandker recognised the fact that Bapex gas sales tariff was only Tk 25 per thousand meter (mcf) when foreign oil companies get almost three dollars in foreign currency, meeting sources said.
Emerging out of the meeting, the minister told reporters the prime minister has asked the authorities concerned to conduct oil and gas exploration properly and implement the projects fast.
He added the government would go ahead with the offshore survey bid. "1 think there should not be any objection from any quarters in this regard."