Bangladesh claimed over US$1.05 billion as compensation from the Canadian company Niko Resources for burning the country's gas reserves in Chattak Gas Field in Sunamganj on January 5 and June 24 in 2005 due to negligence.
Petrobangla has claimed the amount recently at a virtual hearing that was conducted to identify 'Head of Loss' of Tengratila gas blowouts due to the damage caused to properties and gas reserves in and around the gas field.
The International Centre for Settlement of Investment Disputes (ICSID) has conducted the virtual hearing to identify 'Head of Loss' of Tengratila gas blowouts against Canadian company Niko Resources for burning Bangladesh's gas reserves due to negligence.
"We placed all of our arguments and submitted papers supporting the claim before the ICSID. A seven-member panel from Bangladesh was took part in the 'Head of Loss' discussion virtually that was administrated from Washington DC," a senior official of Petrobangla said recently.
He said the discussion was focused on damages to the gas reservoir, damage of environment due to the gas blowouts and loss of the government for purchasing gas from other areas as it failed to tap the Tengratila gas.
Earlier, Petrobangla, the state-owned Oil and Gas Cooperation submitted the compensation claim to the ICSID against Canadian company Niko Resources for burning Bangladesh's gas reserve due to negligence.