Bangladesh Wins Legal Battle: ICSID Orders Niko to Pay $42 Million Over Tengratila Blast

The Chairman of Petrobangla, Engr. Rezanur Rahman, confirmed the verdict, stating that the international tribunal held Niko liable for the environmental and resource damages. The Tengratila gas field, discovered in 1959, was handed over to Niko in 2003 for further exploration. However, two massive blowouts occurred in quick succession on January 7 and June 24, 2005, leading to a massive loss of natural gas and damage to surrounding properties.

Petrobangla had initially sought 746 crore BDT in damages, which Niko refused to pay, leading to the international legal dispute. While one layer of the Chhatak West zone was destroyed in the fire, the Chhatak East zone and other layers remain intact. Experts estimate the field's potential reserves to be between 2 and 5 trillion cubic feet (TCF).