Barakpuria coal mine development agreement signed

Dhaka: Petrobangla, Barapukuria Coal Mining Company Limited and a Chinese Consortium led by CMC have signed a side letter agreement on completion of development work of Barapukuria coal mine.


The side letter agreement was signed on Wednesday so that the consortium finishes incomplete development work of the mine as per the original development agreement signed in 1994, Petrobangla officials said.

When the consortium will finish the development work, BCMCL, a subsidiary of Petrobangla, will issue takeover certificate to the consortium.

The consortium was also given a six-year service contract for producing coal from the field in 2005. But it failed to produce coal as per the contract.


A Petrobangla release said the visiting president of CMC, Tang, assured the government that the consortium would take ‘all out efforts’ to recover the closed section (1100) of the coal mine which was shut for the second time because of emission of carbon monoxide.


The CMC will purchase a new set of equipment to produce coal as equipment worth millions has remained abandoned at the closed compartment. Petrobangla requested CMC not to charge BCMCL for the equipment.