Summit Group has requested a force majeure order in response to the cessation of operations at its LNG (liquefied natural gas) facility, according to sources.
As storm Remal made landfall in late May, Summit LNG Terminal needed an overhaul to repair the damage, thus it is getting ready to leave the mooring facility in the Bay of Bengal.
A frequent contractual phrase known as “force majeure” releases both parties from responsibility or obligation if a remarkable event or circumstance beyond their control such as a war, strike, riot, crime, disease, or abrupt change in the law keeps one or both parties from carrying out their commitments.
Summit has applied to the state-run Petrobangla to execute the ‘force majeure’ provision under the terms of use (ToU) agreement inked between the companies, a senior Petrobangla official told the local media on Tuesday.
After completing the necessary repairs, he anticipates that Summit’s floating storage and regasification unit (FSRU) will return in late July.
Due to the unavailability of one of the nation’s two floating LNG facilities, the gas crisis is expected to last at least another month. According to industry insiders, it will affect power plants, gas-guzzling industries, and other consumers.
To deal with the gas scarcity, the state-backed Bangladesh Power Development Board is probably going to depend increasingly on oil-fired power facilities. They further said that as a result, state-run electricity companies have begun to implement load-shedding.
At now, the only operational FSRU, Excellence of Excelerate Energy, is providing around 859 million cubic feet of gas per day (mmcfd).
This is around 30.15 per cent higher than the US company’s official LNG regasification capacity of 600 mmcfd to cope with the short supply of regasified LNG.
According to sources, the FSRU damage was discovered on 29th May. Subsequently, the government started to reduce LNG regasification, which by 30th May morning had reached nil.
They added that following a two-and-a-half-month overhaul in a Singapore dry dock, the Summit-run FSRU only started up again in mid-April.
Bharat Tex Special Report 2026 
