‘High time’ to explore Phulbari coal through open-pit mining: Energy minister

Power, Energy and Mineral Resources Minister Iqbal Hassan Mahmood has said it is time to explore the coal reserves at Phulbari through open-pit mining, arguing that greater use of domestic coal could reduce Bangladesh’s reliance on imported fuels and lower electricity generation costs.

He said the government was considering modern mining technologies that could minimise damage to agricultural land while allowing the country to harness the economic potential of its coal resources.

“I think the time has come to explore that coal mine through open-pit mining,” he said at the fifth Bangladesh Economic Summit 2026, organised by The Daily Bonik Barta at a hotel in Dhaka today (14 November).

The minister said Bangladesh was spending substantial amounts on liquefied natural gas (LNG) imports and fuel subsidies despite having significant domestic coal reserves.

Iqbal Hassan Mahmood said discussions had already begun on the bidding process for coal extraction, with Prime Minister Tarique Rahman directing the authorities to finalise the process within the next three months.

Once the framework is finalised, the government will proceed with the bidding process to develop the country’s coal resources, he added.

The minister also said the government planned to establish a power plant in the area so that coal extracted from the mine could be used directly for electricity generation.

He argued that modern open-pit mining technologies could minimise the impact on agricultural land, adding that the economic benefits of coal-based power generation could outweigh potential losses in agricultural production.