Expression of Interest for Financing BMRE Project of Eastern Refinery Limited
The Bangladesh Petroleum Corporation (BPC)/Eastern Refinery Limited (ERL) (Lead Agency) under the Ministry of Power, Energy and Mineral Resources Division (Lead Ministry) intends to increase its present capacity from 1.5 Million TPA to 4.5 Million TPA through BMRE project. The Government of Bangladesh has already approved the project. The consumption of petroleum oil products in Bangladesh at present is around 3.8 Million Metric Ton (MT) /Annum. ERL, the only petroleum refinery of Bangladesh is meeting around 30% of country’s petroleum products consumption where as 70% of the products are being imported as finished products.
BMRE of ERL is necessary in the light of the following:
- To provide desired energy security.
- To produce eco friendly fuels, complying with Euro-III specification. - To reduce the petroleum products deficit of national demand.
A feasibility study for BMRE of ERL has been carried out recently by international consulting farm with IDB financing.
The proposed BMRE project will be installed in existing ERL area. Utilization of existing infrastructures and sharing of common facilities, storage, etc., will result in reducing investment cost.
ERL BMRE project will be implemented in around three (03) years time.
The feasibility study indicates that estimated cost of ERL BMRE project is US$ 867.00 Million for the capacity of 3.00 Million MT/Annum. Out of the cost US$ 709.00 Million will be in foreign currency & remaining US$ 158.00 Million in local currency.
The financial & economic analysis has been carried out for ERL BMRE project considering three different crude’s & crude mix processing options. The result of...