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B A N G L A D E S H

Project:

Strengthening o the Hydroarbon Unit (HcU) Projet

Cooperating institution:Hydroarbon Unit (HcU) under

Energy and Mineral Resoures Division (EMRD)

Ministry o Power, Energy and Mineral Resoures (MOEMR).

Goals and objectives:

The Hydroarbon Unit (HcU) was set up by the Government o Bangladesh

in 1997 under the administrative ontrol o the Ministry o Power, Energy and

Mineral Resoures. The objetive o establishing the HcU was to split the

responsibilities or ommerial and regulatory governmental untions. Both

untions have previously been the responsibility o the national oil ompany

Petrobangla. Atual work on the projet started in 1999.

The development objetive o the projet is to address the need or MOEMR to

assume new responsibilities as a result o the arrival o oreign ompanies or

operations in the petroleum setor in Bangladesh under prodution sharing

ontrats (PSc), and an inreasing ommerial role o the state owned

petroleum ompany, Petrobangla.

The Objective of the Project is:

Strengthening o the HcU to beome a ull-fedged untioning, permanent

body in the ministry, authorised to:

Implement Government poliies and regulations or upstream ativitiesor the petroleum setor

Promote and supervise private setor ativities in the petroleum setor.ProgrammeThe programme is onentrated around the ollowing omponents:

Establish an institutional Model Establish a revised legal ramework Supervision o liense ativities Resoure poliy and management Resoure assessment Training and other institutional support ativities

Contact:

NPD: Mr. Jan Bygdevoll, Projet coordinator,jan.bygdevoll@npd.no

cOUNTRY FAcTS:Ofcial Name:Peoples Republi of

Bangladesh

Capital:

Dhaka

Chie o state:

President Iajuddin Ahmed

Head o Government:

Prime Minister Khaleda Zia

Population:

147 365 352 (2006)

Petroleum sector, key fgures:

Average oil prodution:

3.400 bbl/day (2005)

Annual gas prodution:

14.5 bill m3 (2005)

Organisation o the

petroleum sector:

Ministry of Power, Energy

and Mineral Resoures has a

division named Energy and

Mineral Resoures Division

(EMRD) whih HcU is

reporting to.

Bangladesh Oil, Gas &

Mineral corporation

(Petrobangla) onsists of

several ompanies of whih

three are engaged in explora-

tion and prodution. Some

international oil ompanies(IOcs) have operations in

Bangladesh. This is organised

by prodution sharing

ontrats with Petrobangla

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Status o the projet:

Phase I-1:

Build up period or denition and orming o the

HcU inluding employment and basi training o key

personnel.

Phase I-2:

Implementation phase, where regulatory, planning

and monitoring untions are put to work. Initially the

duration o the projet was 4,5 years, but due to slow

progress it was deided to prolong the projet in two

stages until end o June 2005.

This also inluded some extra unding.

Plans or an extended projet (Phase II) are being

prepared in ooperation with Asian Development

Bank (ADB) as a part o ABDs programme or urtherdevelopment o inrastruture or gas in Bangladesh.

This proess has been delayed and there has been

little ativity rom the NPD side in 2006. It seems likely

that the ativity will resume in 2007. It is at the mo-

ment unlear whih role the NPD will play in the next

phase o the projet.

Soure: PetroView