UNOCAL /10-12-99 Beach in Banglades

[dawnstar@xxxxxxxxxxxxx]

Subject: Re: UNOCAL /10-12-99 Beach in Bangladesh

>"identified more than 5 trillion cubic feet (TCF) of natural gas."

> BOI chief Mokammel Haq said that foreign direct investment (FDI) in
> Bangladesh was rising sharply. "FDI in the country was 25 million dollars in
> 1995 and 3 billion dollars in '98," he said, adding that this year the
> country was expecting $2 billion foreign investment. Most of the FDIs go to
> the energy sector, Mokammel said.

$$$$$

Yetagun reserves are estimated at 1,1 trillion cubic meters of natural
gas 
to be pumped in thirty years (contract) 
Yadana is estimated at 5 trillion cubic feet or 14O billion cubic meters
(3O year contract)to pump 65 million cubic feet a day;
Another estimate for Yadana cites it at 6.7 trillion cubic feet (1995)

Remember, Bangladesh is one of the poorest countries in the world with
long history of dictatorship and corruption. I was in India when their
president was assassinated...
Perhaps some of our readers can tell how much that has changed recently.

$$$$$

You may also be interested to know that late last year, with crude
prices crashing, down to 10$ a barrel and under -before the march OPEC
meeting in Vienna - oil and gas companies were seriously considering
pulling out of many gas projects, costs too high, revenues too low,
problems of loans, debt financing, overhead expenditures, cost of
exploration-production, In the arab countries alone, with sopme
66billion dollars invested for the 1998-2003 period, some 25 billion
dollars were for new development projects. With the asia crisis in 97,
with the world consuming over 2 million barrels a day, asia cut back the
bulk of one million barrels dropping world consumption to some 74,5
million barrels. The cost of oil greatly affects the gas industry,
linking their price, so that a lot pipeline projects were threatened or
put on hold. 

Since the price of oil after Mars has shot up, and oil companies met the
crush with consolidation (BP-Amoco, Totalfina-Elf...) that has all
changed.ds

$$$$

from interested source:
 
> Gas sector may need $12b new FDI to help country grow: CEO
> Unocal seeks addl incentives for expanding its exploration
> By Staff Correspondent
> 
> Chairman and CEO of Unocal Corporation Roger C. Beach has stressed the need
> for 'additional market incentives' before his company starts expanding its
> exploration activities and commitments in Bangladesh.

> Speaking at a celebration programme organised by Unocal to mark his visit to
> Bangladesh at a city hotel Sunday night, Roger C Beach said that the gas
> sector of Bangladesh would require some 12 billion dollars of new foreign
> investment to make it strong enough for the rapid growth of the economy.

> The programme was addressed, among others, by US Ambassador John C Holzman,
> the Board of Investment chief Mokammel Haq, Unocal Bangladesh chief R
> Terence Budden and others.

> "Unocal is strongly committed to participating in this development process,"
> he said, "I want to emphasise, however, that a positive investment climate
> is vital to the economic growth of any country, including Bangladesh."

> "In Bangladesh, we would like to see a continuation of the existing business
> incentives and creation of additional market incentives before our
> exploration activities and commitments expand," Beach said.

> Emphasising the need for building a strong sense of mutual trust, he said
> that "a positive investment climate encourages market growth, provides
> political stability, upholds the sanctity of contracts and supports
> regulations that are both objective and impartial."

> Terming Sunday's programme 'the inauguration of Unocal in Bangladesh', as it
> has recently taken over Occidental's concerns, the Unocal chief pointed out
> that his company was now the largest foreign investor in the country.

> He noted that Unocal's activities in Bangladesh had created hundreds of
> jobs, put world-class gas fields on the global energy map, and identified
> more than 5 trillion cubic feet (TCF) of natural gas.

> "To give you some perspective 5 TCF is about twice as much natural gas
> Bangladesh has consumed in its entire 28-year history," Beach said.

> "Our acquisition of Occidental's interests in Bangladesh has doubled
> Unocal's financial investment and business risks in this country," he said.

> In his speech, Unocal Bangladesh chief R Terence Budden commented on the
> recent drilling at Moulavibazar saying, " the data we have obtained so far
> shows that the field is significant. As the drill bit probes deeper, Unocal
> will be able to ascertain the volume gas reserves there. The amount of gas
> in place may excel all our expectations!"

> BOI chief Mokammel Haq said that foreign direct investment (FDI) in
> Bangladesh was rising sharply. "FDI in the country was 25 million dollars in
> 1995 and 3 billion dollars in '98," he said, adding that this year the
> country was expecting $2 billion foreign investment. Most of the FDIs go to
> the energy sector, Mokammel said.
> 
> ---------------------
> Unocal chairman call on Khaleda
> 
> The visiting chairman of UNOCAL, a US-based gas and oil company, Roger C
> Beach called on BNP Chairperson and Opposition Leader in Parliament Khaleda
> Zia at her 29 Minto Road official residence yesterday evening, reports UNB.

> During the discussion, the UNOCAL chairman apprised Begum Zia of the
> company's activities in the energy sector, party sources said.

> UNOCAL Bangladesh Limited president and managing director Terry Budden was
> present.

> BNP secretary general Abdul Mannan Bhuiyan MP, M Morshed Khan MP, MM Rezaul
> Karim and Reaz Rahman were also present during the meeting.