The government has terminated the LNG terminal agreement with Summit Group.

The government has canceled its contract with Summit Group for the second floating LNG terminal (FSRU). The cancellation was carried out under the directive of the Ministry of Power, Energy, and Mineral Resources, with Petrobangla Chairman Zanendra Nath Sarker confirming the decision on Monday. 

Summit Group stated that they have received the cancellation notice and expressed in a written statement that "this is unreasonable and an appeal will be made for review." The group emphasized its proven track record of responsibly and transparently implementing long-term infrastructure projects in Bangladesh.

On March 30, Petrobangla and Summit Group had signed a contract for the construction of the third FSRU in Bangladesh. As part of the agreement, they also committed to supplying 1.5 million tons of liquefied natural gas (LNG) annually by the end of 2026.