Promising future of natural-gas condensate

On one hand it�s widely believed that it is possible to produce jet fuel from condensate with the help of an innovative technology apart from exporting it while on the other, it could also be used specifically to meet the local demand instead of being exported

It is not usual for incidental products to emerge with such huge potentials, yet, natural gas- condensate (NGC) is an exception in Bangladesh. This combustible substance comes out with natural gas from our gas-fields as a by-product. As of now, two consignments of NGC, each amounting to 1, 20,000 barrels have been exported, earning the Government total revenue of Tk.94.67 crore. A tender for a new consignment has been floated to export 120,000 barrels more in May 13-15 which is to be loaded from Chittagong.
However, the government had only decided to export condensate last year after a four year on higher receipt of the spin-off from increased gas production. Bangladesh Petroleum Corporation (BPC) generally collects condensate as a by-product from different gas-fields owned and operated by different subsidiary companies of the state-run Petrobangla and international oil companies (IOCs). The increase of condensate depends on the increase of gas production and the supply of condensate increased recently from around 2,300 million cubic feet per day (MMCFD) to around 2,700 MMCFD within the past several months. The future of export earnings may be bright with exporting NGC but the problem is with our limited capacity to store them. The current manufacture of condensate is far more than our storage capacity. Gas production from Bibiyana gas field alone had to be cut by 350 MMCFD last June against its capacity of 1,200 MMCFD due to its condensate-storage limitation. So we have to address this particular issue realistically.
In terms of quantity, the state-owned and international oil companies extracted around 321,000 tonnes of condensate during the fiscal year of-2014-15.  The current quantity has increased to 360,000 tonnes. Furthermore, our Energy ministry has estimated that the extraction of condensate would rise to 560,000 tonnes in 2016-17. The quantity has expectedly shot-up, but what needs to be ensured is how to make the best use of this.   
On one hand it’s widely believed that it is possible to produce jet fuel from condensate with the help of an innovative technology apart from exporting it while on the other, it could also be used specifically to meet the local demand instead of being exported. Both possibilities will have to be explored. Benefits will have to be compared while creating a balance between the two. We believe the matter of checks and balances will be taken into serious consideration.
Export of NGC has proved a lucrative export venture for the government but its long term benefits depends on how we strategise the usage of it. How we can check and balance its produce, and most importantly, if we can continue to supply and export it according to a set of well-formulated guidelines.

Promising future of natural-gas condensate

On one hand it�s widely believed that it is possible to produce jet fuel from condensate with the help of an innovative technology apart from exporting it while on the other, it could also be used specifically to meet the local demand instead of being exported

It is not usual for incidental products to emerge with such huge potentials, yet, natural gas- condensate (NGC) is an exception in Bangladesh. This combustible substance comes out with natural gas from our gas-fields as a by-product. As of now, two consignments of NGC, each amounting to 1, 20,000 barrels have been exported, earning the Government total revenue of Tk.94.67 crore. A tender for a new consignment has been floated to export 120,000 barrels more in May 13-15 which is to be loaded from Chittagong. However, the government had only decided to export condensate last year after a four year on higher receipt of the spin-off from increased gas production. Bangladesh Petroleum Corporation (BPC) generally collects condensate as a by-product from different gas-fields owned and operated by different subsidiary companies of the state-run Petrobangla and international oil companies (IOCs). The increase of condensate depends on the increase of gas production and the supply of condensate increased recently from around 2,300 million cubic feet per day (MMCFD) to around 2,700 MMCFD within the past several months. The future of export earnings may be bright with exporting NGC but the problem is with our limited capacity to store them. The current manufacture of condensate is far more than our storage capacity. Gas production from Bibiyana gas field alone had to be cut by 350 MMCFD last June against its capacity of 1,200 MMCFD due to its condensate-storage limitation. So we have to address this particular issue realistically. In terms of quantity, the state-owned and international oil companies extracted around 321,000 tonnes of condensate during the fiscal year of-2014-15. The current quantity has increased to 360,000 tonnes. Furthermore, our Energy ministry has estimated that the extraction of condensate would rise to 560,000 tonnes in 2016-17. The quantity has expectedly shot-up, but what needs to be ensured is how to make the best use of this. On one hand its widely believed that it is possible to produce jet fuel from condensate with the help of an innovative technology apart from exporting it while on the other, it could also be used specifically to meet the local demand instead of being exported. Both possibilities will have to be explored. Benefits will have to be compared while creating a balance between the two. We believe the matter of checks and balances will be taken into serious consideration. Export of NGC has proved a lucrative export venture for the government but its long term benefits depends on how we strategise the usage of it. How we can check and balance its produce, and most importantly, if we can continue to supply and export it according to a set of well-formulated guidelines.