Bangladesh’s only state-owned refinery, Eastern Refinery Limited (ERL), is nearing a complete halt in operations due to a severe shortage of crude oil, officials said.
Currently, the refinery is running on limited “dead stock” reserves, allowing minimal production to continue. However, officials warn that operations could fully stop within few days if fresh crude supplies do not arrive.
The crisis stems from disruptions in crude imports following escalating tensions in the Middle East. Since the conflict involving Iran, United States and Israel, Bangladesh has not received any new crude shipments.
The last cargo arrived on February 18, and ERL has been operating on that supply ever since.
A planned shipment of 100,000 tonnes from Saudi Aramco could not be delivered as scheduled in March due to logistical disruptions. Officials now expect the next shipment to arrive late April or early May.
A senior official from the Ministry of Power, Energy and Mineral Resources said the refinery is not fully shut yet, as limited operations continue using existing reserves.
To maintain fuel supply in the local market, the government is increasing imports of refined petroleum products, ensuring there is no immediate risk of shortages.
ERL, a subsidiary of Bangladesh Petroleum Corporation, is the country’s only crude oil refinery. Officials said current daily output has dropped to around 120 tonnes of petrol and 100 tonnes of diesel, significantly below normal capacity.
Efforts to secure alternative crude supplies are ongoing, but delays in contracts and shipping routes—particularly around the Strait of Hormuz—have complicated procurement.
Officials say operations may resume fully once new crude shipments arrive, but the situation highlights Bangladesh’s vulnerability to global energy supply disruptions.
