Highlights
- Bangladesh’s only state-owned refinery Eastern Refinery PLC (ERL) has been shut down
- Shutdown caused by crude oil shortage
- Last refining activity was completed on Monday (April 13)
- Fuel supply system remains stable, says Energy Division
- Next crude oil shipment expected in early May
Shutdown of the Only State-Owned Refinery
The country’s only state-owned oil refinery, Eastern Refinery PLC (ERL), has officially stopped operations due to a shortage of crude oil. According to two officials of the plant, the last refining activity was carried out on Monday (April 13) afternoon. The shutdown happened after a long period of declining crude oil supply.
Temporary Stop Due to Crude Oil Shortage
Officials said the Oil Refinery had already been operating under pressure for several weeks.
- Normally, ERL refines around 4,500 tons of crude oil per day
- Due to shortage, production was reduced to 3,500 tons per day last month
- By March 4, usable crude stock dropped to below 2,000 tons
Read More: Education Minister says, ‘I Feel Happy When I’m Trolled on Facebook’
To continue limited operations, the oil refinery also processed:
- 5,000 tons of crude oil stored in the Single Point Mooring (SPM) pipeline in Cox’s Bazar’s Maheshkhali
- Remaining “dead stock” crude from four storage tanks
Energy Division Assures No Fuel Crisis
Despite the shutdown, the Energy Division has assured that there will be no disruption in fuel supply in the country.
They said that there is currently a sufficient stock of refined petroleum products, which will help maintain the supply chain smoothly.
Country’s Oil Import Situation
According to Bangladesh Petroleum Corporation (BPC):
- The country imports around 65–68 lakh tons of fuel oil every year
- A large portion includes diesel and crude oil
- Around 15 lakh tons of crude oil comes from Middle Eastern countries
- This crude is mainly processed at ERL
Import Disruption Due to Global Conflict
Officials also said that crude oil imports have been suspended for nearly two months due to tensions caused by the Iran–US conflict. As a result, the refinery faced a serious supply shortage. The next crude oil shipment is expected to arrive in the first week of May, after which operations may resume.
Source: Kaler Kantho
