Bangladesh is holding negotiations with a Malaysian company to buy liquefied natural gas (LNG), reported Reuters, citing industry sources.

According to the sources, Perintis Akal Sdn Bhd, a Malaysian company, would provide Bangladesh with 1 million metric tonnes of LNG every year.

A request for a response from Perintis Akal was not answered, reported the news agency.

“Talks are ongoing... Still in the primary stage,” said senior official of Petrobangla, a Bangladesh government-owned oil and gas exploration, production, and distribution company.

The official did not provide other details of the deal, such as contract duration or the start date.

The potential LNG supply deal would form part of the South Asian nation’s efforts to cater to the demand for power amid soaring fuel prices in the wake of the ongoing war between Russia and Ukraine.

Last month, Petrobangla signed two LNG share and purchase agreements to secure supplies from the Middle East.

The first contract was signed with QatarEnergy for the supply of about 1.8 million tons per annum (mtpa) of LNG to Bangladesh for 15 years.

Petrobangla inked the second supply deal with Oman’s OQ Trading.

Under the ten-year agreement with OQ Trading, Bangladesh will receive between 0.25mtpa to 1.5mtpa of LNG from Oman.

Bangladesh expects to start receiving LNG from both QatarEnergy and OQ Trading in 2026.