Incorporation:
Bakhrabad Gas Systems Limited (BGSL) a company of Petrobangla under the Ministry of Power, Energy & Mineral Resources, Government of the People's Republic of Bangladesh, was incorporated on 7 June, 1980 with an authorized capital of Tk.3 billion, with the government providing the total equity requirement of the company. The registered head office of the government-owned company is located at its own complex at Comilla.

Objectives:
BGSL was established with three-fold responsibilities of production, transmission and distribution of natural gas to south-east Bangladesh (excluding Brahrmnanbaria district) through the development of Bakhrabad Gas field and construction of Bakhrabad-Chittagong gas transmission pipe line. Later, BGSL also given the responsibility to develop Feni gas field and to construct Bakhrabad-Demra gas transmission pipeline to supply gas in the Titas system to meet the increasing demand of gas in greater Dhaka. On successful completion of these projects, BGSL started its commercial operation in its franchise area on 20 May, 1984 and gas supply to Titas system from 16 September, 1985.

Present Status:
The gas production activities of the company relating to Bakhrabad and Feni gas fields were transferred to Bangladesh Gas Fields Company Limited (BGFCL) in May, 1989 under a reorganization plan of Petrobangla. Since then the major activities of BGSL confined to transmission and distribution of gas. As per government decision BGSL has handed over its main transmisson lines to Gas Transmission Company Limited (GTCL) in the month of November, 2003 and as a result BGSL is now engaged only with the gas distribution and marketing responsibilities.

Franchise Area:
At present BGSL covers its gas supply network in the adjacent towns, municipalities and upazillas of the districts of Comilla, Chandpur, Feni, Noakhali, Lakshmipur, Chittagong and Chittagong Hill districts including the metropoliton area of Chittagong covering CEPZ and other industrial areas of Chittagong. Besides, gas supply has been extended to Kasba and Bancharampur upazillas of Brahmanbaria district outside BGSL's franchise area as per decision of the government.

Authorized Capital:
The company fetched its first profit during 1994 though the commercial activities of the company commenced during FY 1984—85. In view of volume of investment, the Government has raised the company's authorized capital from Tk. 3 billion to Tk. 5 billion in 1990 and Tk. 8 billion in 1994.