Dhaka: Bangladesh Petroleum Corporation (BPC) has finalised long- term contracts with 13 companies, including Malaysia’s PETRONAS, for refined oil products, starting from the second half of this year at a lower price than is prevailing in the market now.

The premium for 180-centistoke (cst) quality fuel oil for the second half of the current year will be $ 24 a ton, compared to Singapore spot quotes, which is $ 29.95.

“The lower premiums are in line with a weaker market in Asia seen in the first half of this year,” one of the sources said.

BPC finalised its gasoil with 2,500 parts-per-million (ppm) sulphur contract for July-December period at a premium of $4.49 per barrel over Middle East quotes, down from $4.50 per barrel for the second half of 2014.

However, premiums for gasoil with 500 ppm was fixed at $4.50 a barrel over Middle East quotes, as the country aims to lower the sulphur content of its gasoil imports, in line with a global move towards cleaner fuel.

China Zhenhua Oil Company and Oman Trading joined the list of suppliers for the first time.

Other suppliers for Bangladesh’s middle distillates contracts are Kuwait Petroleum Corp (KPC), Malaysia’s PETRONAS, Emirates National Oil Company (ENOC), Philippines National Oil Company, Vietnam’s Petrolimex, Indonesia’s Bumi Siak Pusako, Petro China, Maldives National Oil Company and Unipec.

Turkish Petroleum and Brunei Petroleum joined the growing list of oil product suppliers to Bangladesh during the first half.

Bangladesh is also in talks to import gasoil from India’s Numaligarh Refinery Limited, energy ministry officials said.

Bangladesh imports 3.0-3.3 million tons of gasoil a year and around 800,000 tons of fuel oil to meet its demand, while the country’s sole Eastern Refinery produces some 350,000 tons of gasoil.