Several LNG sales proposals are in various stages of the approval process with the Bangladeshi government, and agreements to buy liquefied petroleum gas could follow, said Ambassador Brent Christensen. 

“We think there are going to be several more deals signed soon,” he said in an interview in Dhaka. “We want to make sure that our allies and partners have reliable sources of energy.”

Bangladesh is grappling with a fuel shortfall as the Middle East war has choked LNG shipments from Qatar, the country’s main supplier, behind the Strait of Hormuz. The disruption has forced countries across Asia to seek alternatives, and the US — already the world’s largest exporter of natural gas — is positioning itself to replace lost shipments.

The US estimates Bangladesh’s LNG market could be worth about US$10 billion next year, and it could potentially grow to US$30 billion by 2050, Christensen said. The country’s previous government failed to develop enough new domestic gas supply to offset declining output from older fields, forcing the country to become more reliant on expensive overseas LNG.

Washington and Dhaka signed an energy cooperation memorandum in May that created a framework for US companies to participate in government-to-government procurement of LNG and other types of energy. The pact is part of the White House’s broader push to use commercial diplomacy to boost American exports.

The US-based unit of Centalion Group Ltd — the trading house formerly known as Gunvor — used the framework to cement a deal to sell American LNG to Bangladesh for more than a decade starting this year. 

Chevron Corp, the biggest gas producer in the South Asian nation, is looking to expand, Christensen said. 

“Continued domestic gas exploration and production can strengthen energy security, support growth and reduce exposure to market volatility,” Shu Xiong, president and managing director of Chevron Bangladesh, said in an emailed response to questions. “Chevron has supported Bangladesh’s energy development for more than three decades and looks forward to helping power its next chapter.”

Energy-equipment provider GE Vernova Inc is also keen to do more business in Bangladesh, Christensen said. GE Vernova didn’t respond to a request for comment.

Beyond natural gas, Christensen said that US developers of small modular nuclear reactors are interested in having discussions with Bangladeshi officials about potential projects. 

“We are very active in supporting our companies and identifying opportunities for them and helping them resolve longstanding business issues here,” he said. “No other administration has put anywhere close to this priority on commercial diplomacy.”

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