KAFCO-KGDCL Contract Secures Daily Gas Supply for Fertilizer Production

To ensure the uninterrupted continuation of fertilizer production, Karnaphuli Gas Distribution Company Limited (KGDCL) will supply natural gas to Karnaphuli Fertilizer Company Limited (KAFCO) at an average daily rate of 55 million cubic feet (MMCFD). A gas sales agreement to this effect was signed between the two entities on Wednesday, July 30, at the Petrobangla headquarters in Kawran Bazar, Dhaka.

On behalf of KGDCL, Company Secretary Kabir Uddin Ahmed signed the agreement, while Khaja Saidur Rahman, Chief Commercial Officer and Company Secretary, signed on behalf of KAFCO.

The agreement signing ceremony was presided over by Secretary of the Energy and Mineral Resources Division, Mohammad Saiful Islam. Also in attendance were Secretary of the Ministry of Industries Md. Obaidur Rahman, Chairman of the Board of Directors of KGDCL S.M. Moin Uddin Ahmed, Petrobangla Chairman Rezanur Rahman, Bangladesh Chemical Industries Corporation (BCIC) Chairman Md. Fazlur Rahman, the Managing Director of KGDCL, as well as senior officials from the Energy and Mineral Resources Division, KAFCO, and Petrobangla.

Following the signing, Industry Secretary Md. Obaidur Rahman, on behalf of KAFCO, handed over two cheques to KGDCL Board Chairman S.M. Moin Uddin Ahmed—one amounting to BDT 923.81 crore for outstanding gas bills and another of BDT 34.37 crore for demand charges.

Subsequently, KGDCL Managing Director Engineer Salahuddin handed over a cheque of BDT 634.01 crore to Petrobangla Chairman Md. Rezanur Rahman to settle outstanding dues on behalf of the company.