US-based Argent LNG has signed a heads of agreement to supply Bangladesh with up to five million tonnes per annum (mtpa) of liquefied natural gas (LNG), marking the first US LNG supply deal under the current administration.

The historic agreement is rooted in US President Donald Trump's 'Drill, Baby, Drill' energy mandate, which promotes energy exploration and exports.

The deal was signed at the Bangladesh Embassy in Washington, DC by Ashik Chowdhury, executive chairman of the Bangladesh Investment Development Authority (BIDA), and Jonathan Bass, chairman and CEO of Argent LNG.

The signing also included Chett Chiasson, executive director of the Greater Lafourche Port Commission, which manages Port Fourchon, a key energy hub in Louisiana.

The deal could see Argent LNG's projected 25mtpa facility in Port Fourchon supply LNG to state-owned Petrobangla.

Ashik Chowdhury said: “Petrobangla has been seeking long-term solutions to the rising demand for energy in Bangladesh. This agreement not only ensures a reliable energy supply for Bangladesh’s expanding industrial base but also strengthens our strategic partnership with the United States. By embracing the principles of ‘America First’ and 'Bangladesh First', this collaboration highlights a fair, balanced and mutually beneficial approach that harnesses the strengths of both nations to drive economic growth, regional stability and shared prosperity for our people.” 

President Donald Trump's recent executive actions aim to boost LNG exports, particularly to countries without free trade agreements with the US. The US, already the top LNG exporter, is set to double its capacity by 2028 as per the US Energy Information Agency, reported Reuters.

In a move towards operationalising the supply agreement, Argent LNG contracted GTT Group in July 2024 to provide its membrane technology for LNG storage at the proposed Port Fourchon facility. The French company's technology will be crucial for the safe and efficient storage of LNG at the site.

Scheduled to commence operations between 2029 and 2030, the proposed Argent LNG facility aims to construct up to 12 LNG trains.

The strategic location of Port Fourchon not only offers excellent access to key markets in Europe and South East Asia but also aligns with Argent LNG's efforts to utilise existing infrastructure and minimise environmental impact.

Jonathan Bass said: “Argent LNG is pleased to announce the signing of a heads of agreement with Bangladesh, marking a significant step in strengthening energy partnerships. This agreement paves the way for the United States to supply reliable baseload energy to Bangladesh, enabling the country to expand its ability to grow. This partnership underscores our shared commitment to fostering bilateral and equitable trade, supporting supply chain securitisation, and deepening ties between our two nations.”