Located in Block 12 in Habiganj district, the development includes the construction of two pipelines to connect the Bibiyana field to Bangladesh’s national distribution grid.
Unocal has already drilled two wells in the field and the investment is expected to finance the drilling of an additional 13 wells.
In a statement Osmani said, “Unocal will invest US$230 million to develop the Bibiyana gas field, which has proven gas reserves of more than 2.4 trillion cubic feet. The company is intending to produce up to 300 million cubic feet (mcf) of gas per day from October 2006, and this would be increased by 100 mcf annually until 2008.”
“Under the plan they will also set up a processing plant for 600 million cubic feet of gas per day and will construct a 40 km pipeline to connect with the national grid,” he added.
According to Unocal Bangladesh Ltd MD and president Andrew Fawthrop, “Two of [our] subsidiaries (Unocal Bangladesh Block 12 and Unocal Bangladesh Exploration Ltd) have signed a natural gas PSA with Petrobangla, the Bangladesh Oil & Gas Corporation, to develop and produce natural gas from the field.
“Development of the Bibiyana field will help meet Bangladesh’s growing need for natural gas supplies [and] our goal is to assist Petrobangla in developing the country’s energy resources,” he added.
Unocal Bangladesh is the operator of the field and, together with its two units, holds a 100% working interest in the Bibiyana field PSC.
