Bangladesh cabinet approves Chinese-built floating LNG terminal in Moheshkhali

The government greenlights a new import facility under a government-to-government deal, expanding Dhaka's infrastructure for gas imports amid ongoing energy security efforts.

By Handelsavisen Newsroom · Automated 2026-07-28 14:37 UTC · 1 min read

The Bangladesh cabinet has approved a proposal to construct a floating liquefied natural gas (LNG) terminal at Moheshkhali in Cox's Bazar, with a Chinese firm selected to build the facility.

The project will be executed under a government-to-government (G2G) arrangement, signaling a direct state-level partnership to expand the country's energy import infrastructure.

3 billion for fiscal year 2027, underscoring the scale of financing backing the nation's energy strategy.

The decision adds to Bangladesh's recent moves to secure energy supply lines.

Earlier this month, the Islamic Corporation for the Development of the Private Sector (ITFC) expanded its energy import line for Bangladesh to $3.3 billion for fiscal year 2027, underscoring the scale of financing backing the nation's energy strategy. The new terminal is expected to enhance the country's ability to receive and process LNG cargoes, diversifying its import capabilities beyond existing infrastructure.

This development aligns with broader regional trends in LNG infrastructure expansion.

While China is simultaneously preparing a second import terminal to handle cargoes from Russia’s sanctioned Arctic LNG 2 project, the Bangladesh initiative focuses on domestic energy security and import capacity.