Bangladesh has signed a significant agreement with Argent LNG, a US-based energy company, to purchase up to 5 million tonnes of liquefied natural gas (LNG) annually. Announced on January 25, 2025, this deal marks the first major LNG supply agreement since President Donald Trump assumed office earlier this week, reflecting confidence in the administration’s pro-energy policies.
The agreement was signed by Chowdhury Ashik Mahmud Bin Harun, Executive Chairman of the Bangladesh Investment Development Authority (BIDA), and an Argent LNG representative during a ceremony in the United States. Argent LNG is developing a 25 million metric tonnes per annum (MTPA) LNG facility in Louisiana, with the potential to supply Bangladesh’s state-owned company Petrobangla once the project is operational.
The deal comes as Bangladesh faces a severe gas crisis, hampering industrial growth and employment. Seeking long-term solutions, the country has turned to the US as an alternative energy supplier, moving beyond its traditional reliance on the Middle East.
Chowdhury Ashik Mahmud Bin Harun emphasized the importance of the agreement, stating that it secures a stable energy supply for Bangladesh’s growing industrial needs while strengthening strategic ties with the US. In a social media post, he described the deal as crucial not just for energy security but also for advancing economic diplomacy.
The United States, already the world’s largest LNG exporter, is expected to double its export capacity by 2028. The Trump administration has prioritized boosting LNG exports, recently lifting restrictions on shipments to countries without free trade agreements. This deal with Bangladesh is seen as a major step in promoting US energy on the global stage.
The agreement has been welcomed in the US, with Senator Bill Cassidy of Louisiana showing strong support, signaling the potential for deeper bilateral ties. Chowdhury Ashik noted the warm reception from US officials, calling it a promising sign for future collaboration.
This deal underscores Bangladesh’s commitment to addressing its energy challenges through strategic partnerships while highlighting the growing importance of US LNG in global energy markets. For both nations, the agreement represents a milestone in strengthening economic and political ties.
