Eastern Refinery PLC (ERL), the only state-owned oil refinery in Bangladesh, is facing a possible temporary shutdown due to a prolonged disruption in crude oil supply, raising fresh concerns over the country’s energy security.
Officials said the refinery has gone more than six weeks without receiving any new crude shipments, putting pressure on its operations. If fresh supplies do not arrive within days, ERL may be forced to halt production.
To prevent such a situation, Bangladesh Petroleum Corporation (BPC) is moving to import 1 lakh metric tonnes of crude oil from Malaysia. The shipment is expected to arrive between 10 and 13 April, provided all logistical arrangements proceed as planned.
BPC Chairman Rezwanur Rahman said efforts are underway to open a letter of credit and charter a vessel soon.
He expressed hope that timely arrival of the shipment would allow the refinery to continue operations without interruption.
Authorities are also trying to bring in another crude shipment carried by the vessel Nordic Pollux, which is currently stranded in Saudi Arabia due to the ongoing Middle East conflict. The tanker is believed to be carrying around 1 lakh tonnes of crude oil.
The supply disruption follows escalating tensions in the region, which have affected shipping through the strategically important Strait of Hormuz - a key route for global oil transport and a vital channel for Bangladesh’s crude imports.
Sources said the last crude consignment, also around 1 lakh tonnes, arrived on 18 February. Since then, two scheduled shipments have failed to reach the country, creating the current shortfall. ERL typically processes around 4,100-4,200 tonnes of crude per day and has been reducing output to stretch existing reserves.
Commissioned in 1968 in Chattogram’s Patenga, the refinery has an annual capacity of about 1.5 million tonnes and supplies roughly 20 per cent of the country’s fuel demand. A shutdown could force Bangladesh to rely more heavily on costlier refined fuel imports, increasing financial pressure.
ERL officials said current reserves may last until mid-April. If the incoming shipment is delayed, a temporary suspension of operations may become unavoidable, though such short-term closures are not uncommon due to routine maintenance cycles.
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