The Phulbari Project

Over 20 years in the making The Phulbari Coal and Power Project is at its closest ever of coming to fruition. Of huge benefit to the people and economy of Bangladesh it has the potential to create 17,000 jobs locally with many more in the numerous industries that will be created through the utilisation of the mineral by products of which the nation suffers shortages.

Prominent Business leaders and Associations have stressed the need to extract and utilise the countries' own coal.

In February 2025 a seminar and discussion was organised by the Hydrocarbon Unit of the Power and Energy Ministry, in attendance was the then Power and Energy Advisor along with numerous Academics and Mining Experts. Information about the proposal to mine Phulbari from Asia Energy was presented. The overall consensus was that the way forward was to recommend to the next elected government that the project, utilising open pit mining, should go ahead. The Energy Advisor stressed that 'mining of our resources is essential for relieving stress on fuel imports , he is further reported to have stated that $15bn in funding was on offer from a 'mining company' to facilitate the project. The project will be part of the Chinese Belt and Road initiative.

In 2026 the newly elected BNP government moved rapidly in drafting a 5 and 10 year Energy Plan one of the pillars of which is implementing open pit mining of domestic coal resources.

The Prime Minister, The Finance Minister and the Energy Ministers have all indicated their desire to implement open pit mining at Phulbari.

Power China, having signed a MOU and EPC to develop the mine, including removal of the overburden, is also working with the government on implementing the nearby Teesta River reclamation project, it has been speculated that overburden from Phulbari would be utilised in that process. In 2026 the Government notified the Chinese authorities of their intention to go ahead with the project utilising the $550 million in funding that is on offer. The leader of the newly elected BNP government has said implementation of this project would be one of its first priorities. China has stated it will expand rail projects in Bangladesh ready for the project, doing so would also facilitate the transportation of Phulbari coal to existing coal power plants, as with the Phulbari project, discussions will continue between stakeholders, partners and the government.

Estimated to contribute 1.5% annually towards the countries GDP the Phulbari Project will truly be a step change in reducing Bangladeshs' balance of payments, maintaining it's forex reserves and moving the Nation forwards in it's goal of eradicating poverty through economic growth, job creation and a stable power supply for both industry and domestic use.