Bay of Bengal-Chittagong Oil Pipeline

From Global Energy Monitor
This article is part of the Global Fossil Infrastructure Tracker, a project of Global Energy Monitor.
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Bay of Bengal-Chittagong Oil Pipeline is an offshore-onshore crude oil pipeline, currently under construction in Bangladesh.[1] It is one of two pipelines associated with Bangladesh's Single Point Mooring (SPM) and Parallel Pipeline Project.[2]

Location

The proposed pipeline route runs from tankers in the Bay of Bengal to Moheshkhali Island, Bangladesh to Eastern Refinery Ltd (ইস্টার্ণ রিফাইনারী লিমিটেড), Chittagong district, China.[3][4]

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Project Details

  • Operator: Bangladesh Petroleum Corporation (BPC)
  • Parent Company: Bangladesh Petroleum Corporation
  • Current Capacity:
  • Proposed Capacity: 90,000 barrels per day
  • Length: 137 mi / 220 km
  • Status: Construction[5]
  • Start Year: 2022

Background

In December 2016, the government of Bangladesh reached agreement with China Petroleum Pipeline Engineering Co., Ltd. (previously the China Petroleum Pipeline Bureau; CPP) for engineering, procurement, construction, and commissioning for installation of a SPM system for two parallel 220-km pipelines—the Bay of Bengal-Chittagong oil pipeline and the Bay of Bengal-Chittagong oil pipeline 2.[6][2] CPP will build a 146-km offshore pipeline and 74-km onshore pipeline to carry imported oil from sea to a refinery in Chittagong district for processing. A diesel and crude oil storage tank will also be set up at Moheshkhali Island on the Bay of Bengal in Bangladeshi Cox's Bazar district.[1] Oil from the pipeline will be refined in Chittagong, and ultimately piped to China.[6]

The project was launched because Bangladesh is incapable of handling large vessels carrying imported crude and finished oil, due to low navigability of a key river channel and constrained facilities at the main seaport in Chittagong. (At present, large tankers anchor at deep sea and smaller ships unload them, however this process takes time and causes systematic losses for the government.)[1]

Although the project start was delayed, in June 2019, the first horizontal directional drilling crossing of the Single Point Mooring and Parallel-pipeline Project in Bangladesh (SPM project) was successfully pulled back, and the first directional drilling of the SPM project was completed.[7][5]

In January 2020 CPP announced that that the SPM subsea installation began on December 23, 2019. The pipeline diameters are 18 and 36 inches.[8] In July 2020 the Executive Committee of the National Economic Council (ECNEC) gave a new estimated completion date of June 2022 for the pipeline.[9]

Articles and resources

References

  1. 1.0 1.1 1.2 "China Bangladesh sign framework agreement on oil pipeline project", China Daily, Oct. 30, 2017.
  2. 2.0 2.1 "Chinese firm building single mooring at Bay", The Financial Express, July 22, 2019.
  3. XinHua (8 December 2016). "Roundup: China company to build 220-km oil pipeline in Bangladesh". Asia Pacific Daily. Retrieved 24 February 2020.
  4. Star Online Report (8 December 2020). "Dhaka inks deal with Chinese firm for oil pipeline". The Daily Star. Retrieved 24 February 2020.
  5. 5.0 5.1 "The First HDD Crossing of Village Mattbari in the Bangladesh SPM Project Completed" CPP, accessed December 2019.
  6. 6.0 6.1 China, Bangladesh sign framework agreement on oil pipeline project, Xinhua Net, Oct. 30, 2017
  7. "$550.4m Single Point Mooring project hits snag" Energy Bangla, Oct. 4, 2018.
  8. "Offshore Pipeline Installation Begins in Bangladesh SPM Project". CPP.CNPC.com. Retrieved 24 February 2020.
  9. ‘সিঙ্গেল পয়েন্ট মুরিং’ প্রকল্পের মেয়াদ আড়াই বছর বাড়ল, BD News24, Jul. 6, 2020

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