In a move that has raised eyebrows across political and energy sectors, the interim government has approved the selection of Singapore-based Vitol Asia for supplying two liquefied natural gas (LNG) cargoes to Bangladesh—mirroring previous decisions made under the ousted Awami League administration.

On Wednesday, the Cabinet Committee on Public Purchase Advisory Council, chaired by Economic Adviser Dr. Salehuddin Ahmed, approved the Energy and Mineral Resources Division's proposal to procure LNG from Vitol Asia at a total cost of approximately Tk 1,104.41 crore.

Vitol Asia, a subsidiary of the global energy trader Vitol Group, has been repeatedly embroiled in international corruption scandals and is reportedly linked to former State Minister for Power, Energy and Mineral Resources Nasrul Hamid Bipu. Bipu’s close ties to the company and its local agents played a significant role in securing previous contracts during his tenure, according to sources.

The first LNG cargo will be delivered between May 30–31, 2025, and the second between July 2–3, 2025. Vitol was selected as the lowest bidder for both shipments, beating 23 competitors for the first cargo at a rate of USD 11.4488 per MMBtu (Tk 549.01 crore), and six competitors for the second at USD 11.5788 per MMBtu (Tk 555.32 crore).

Vitol's increasing presence in Bangladesh’s energy procurement landscape has long been contentious. The company previously partnered with Japan’s Marubeni Corporation and Bangladesh’s PowerCo International—an entity with a paid-up capital of only $100—to build the country's first LPG terminal at Matarbari deep-sea port. PowerCo is allegedly tied to Bipu through family and personal connections, raising questions of nepotism and a lack of competitive bidding.

Insiders claim a syndicate led by Bipu orchestrated LNG procurement deals during his time in office, with family members and close associates reportedly acting as local agents for Vitol and other foreign entities. These links have intensified scrutiny over the fairness and transparency of Bangladesh’s energy procurement system.

Vitol’s global reputation has also been tainted by legal troubles. In December 2020, the company agreed to pay over $135 million to settle US Department of Justice charges over bribery schemes involving officials in Brazil, Ecuador, and Mexico. Investigations revealed the company had paid more than $10 million in bribes over 15 years, using shell companies, fake invoices, and sham consulting contracts to secure business advantages.

In August 2024, Dutch authorities confirmed an investigation into Vitol’s alleged bribery in Kazakhstan, following an exposé by Dutch outlet Follow The Money. Though Vitol admitted to being contacted by Dutch prosecutors, it disputed aspects of the report, which detailed questionable transactions linked to the company's activities in Central Asia.

Despite its checkered past and long-standing concerns over political favoritism, Vitol Asia continues to win critical contracts in Bangladesh’s energy sector—a pattern now reaffirmed by the interim administration.