Bangladesh oil firm eyes IPO to fund energy investment

Leading Bangladeshi oil company East Coast Group (ECG) will invest about US$228 million in the country’s energy sector, with about US$86 million stemming from a share flotation in a sister company partially controlled by ExxonMobil. ECG Chairman Azam Chowdhury told Reuters that MJL Bangladesh Ltd., a sister concern of ECG would raise the funds by floating 40 million shares on the Dhaka and Chittagon markets. ExxonMobil and state-owned Jamuna Oil Company Ltd., and EC Securities Ltd., an investment arm of East Coast Group, also have stakes in MJL Bangladesh Ltd. Azam said the funds would be invested in building a 110 megawatt power plant, purchasing a super oil tanker with 100,000 tons capacity, setting up a liquefied petroleum gas plant and a white oil production plant. (October 23, 2010)