Bangladesh has signed a memorandum of understanding with the United States on strategic cooperation in the energy sector amid global volatility in fuel markets driven by the West Asia conflict.

The formal signing ceremony took place at the US Department of Energy in Washington, DC on Thursday morning local time.

Foreign Minister Khalilur Rahman and US Energy Secretary Chris Wright signed the agreement on behalf of their respective nations.

In a statement, the Bangladesh Embassy in Washington said the agreement comes at a time when countries around the world, including Bangladesh, are facing mounting challenges in ensuring energy security.

The agreement would support Bangladesh’s long-term energy security efforts by diversifying energy sourcing options based on affordability and supply chain sustainability, it added.

“It would facilitate capacity building, exchange of knowledge and expertise, and studies on oil, gas, geothermal and bioenergy between the two countries, as well as Bangladesh’s import of US LNG, LPG and other energy products at affordable prices,” the statement read.

At the ceremony, Khalilur called the MoU another milestone in the growing Bangladesh-US relations.

He thanked Prime Minister Tarique Rahman and US President Donald Trump for supporting the initiativ 

US official Chris echoed these sentiments, calling the MoU a "historic development" in bilateral ties.

He said, “So partnerships between the United States and Bangladesh have led to great things in the past and they will lead to great things in the future.

“I think there's tremendous room for energy cooperation to the benefit of American businesses and to the benefit of industry and most importantly the people and citizens of Bangladesh, our friends and partners forever