Chevron takes Chinese team on gas field visit ‘without permission’

US oil major Chevron has raised the hackles of the government by reportedly bringing in eight officials of a Chinese firm to visit three gas fields without permission from Petrobangla.

The eight officials of the Chinese state-run company ZhenHua Oil reportedly visited all three fields to evaluate the gas flow, and spent seven days in the country. But the state-owned Petrobangla or the government reportedly had no knowledge of that.
“As our partner in the three fields, Bibiyana, Moulavibazar, and Jalabal, Chevron should have informed the government before bringing the Chinese officials to the country. They brought them as ‘Chevron officials’. This is unethical,” a source in Petrobangla fumed.
“We are investigating how Chevron brought Chinese officials without informing us,” said another Petrobangla official. Officials of both Chevron and Petrobangla confirmed the Chinese officials’ visit to Bangaldesh.
Chevron is likely to transfer the ownership of these major gas fields to ZhenHua Oil. Both parties have signed a preliminary deal for the transfer. Recently, Chevron Bangladesh president Kevin Lyon met the Petrobangla chairman and submitted a letter explaining the share transfer to ZhenHua Oil.
At that time, Lyon sought permission to bring ZhenHua officials to Bangladesh to assess the three gas fields. But Petrobangla 
refused, saying it was an issue to be discussed with the government because the latter is also interested in buying the three fields.

On October 14 last year, Nasrul Hamid, the state minister for power, energy, and mineral resources, had told the media that the Bangladesh government had offered to buy all the natural gas assets of Chevron in Bangladesh.
“We are interested in buying the assets. It will be a big opportunity for us to have access to the entire production of the three gas fields,” he had said.
“I have extended an offer to Chevron and have been assured that its local office will talk to the headquarters about the interest shown by the Bangladesh government,” Nasrul had told The Independent.
“But Chevron did not respect the government’s interest. The government is now angry and will adopt a go-slow policy about clearing the share transfer papers,” claimed a Petrobangla official. In any case, Bangladesh holds the right of first refusal to the assets and can block the transaction.
The estimated value of the three gas fields is US$ 2 billion. The country, via Petrobangla, is talking to international banks to raise the required amount, revealed a banking source in the know. Bibiyana is the largest gas field in the country.
Chevron is the major operator in Bangladesh in this sector. It produces 1,540 million cubic feet per day (mmcfd) out of the total 2,750 mmcfd. The American company draws a US$ 50-million bill from Petrobangla every year.

Chevron takes Chinese team on gas field visit without permission

US oil major Chevron has raised the hackles of the government by reportedly bringing in eight officials of a Chinese firm to visit three gas fields without permission from Petrobangla. The eight officials of the Chinese state-run company ZhenHua Oil reportedly visited all three fields to evaluate the gas flow, and spent seven days in the country. But the state-owned Petrobangla or the government reportedly had no knowledge of that. As our partner in the three fields, Bibiyana, Moulavibazar, and Jalabal, Chevron should have informed the government before bringing the Chinese officials to the country. They brought them as Chevron officials. This is unethical, a source in Petrobangla fumed. We are investigating how Chevron brought Chinese officials without informing us, said another Petrobangla official. Officials of both Chevron and Petrobangla confirmed the Chinese officials visit to Bangaldesh. Chevron is likely to transfer the ownership of these major gas fields to ZhenHua Oil. Both parties have signed a preliminary deal for the transfer. Recently, Chevron Bangladesh president Kevin Lyon met the Petrobangla chairman and submitted a letter explaining the share transfer to ZhenHua Oil. At that time, Lyon sought permission to bring ZhenHua officials to Bangladesh to assess the three gas fields. But Petrobangla refused, saying it was an issue to be discussed with the government because the latter is also interested in buying the three fields. On October 14 last year, Nasrul Hamid, the state minister for power, energy, and mineral resources, had told the media that the Bangladesh government had offered to buy all the natural gas assets of Chevron in Bangladesh. We are interested in buying the assets. It will be a big opportunity for us to have access to the entire production of the three gas fields, he had said. I have extended an offer to Chevron and have been assured that its local office will talk to the headquarters about the interest shown by the Bangladesh government, Nasrul had told The Independent. But Chevron did not respect the governments interest. The government is now angry and will adopt a go-slow policy about clearing the share transfer papers, claimed a Petrobangla official. In any case, Bangladesh holds the right of first refusal to the assets and can block the transaction. The estimated value of the three gas fields is US$ 2 billion. The country, via Petrobangla, is talking to international banks to raise the required amount, revealed a banking source in the know. Bibiyana is the largest gas field in the country. Chevron is the major operator in Bangladesh in this sector. It produces 1,540 million cubic feet per day (mmcfd) out of the total 2,750 mmcfd. The American company draws a US$ 50-million bill from Petrobangla every year.