Otherwise, it would be unable to continue production from the Feni gas field and further invest in Feni and Chhatak (Tengratila) gas fields, Niko said.

Sources said the Canadian company would move a petition on Sunday to the Appellate Division of the Supreme Court seeking a stay or modification of an earlier order passed upon a writ petition suspending payments by the government to the company against the gas supply from Feni gas field.

Niko wants Petrobangla, the state-run oil and gas agency, to support the company's petition in order to vacate the court order.

In a letter yesterday, Niko requested Petrobangla to send its lawyer to the court to demonstrate the government's support to the appeal of the company.

Niko further mentioned that if it fails to obtain a stay of the order that prohibits the government from paying the company for gas supply, the company would not be able to continue its production at Feni gas field.

"Niko will be unable to invest further for drilling and development activities in either Feni or Chhatak (Tenratila) gas fields," it added.

It was not clear whether the government would entertain the request of Niko in this regard.

When contacted, Raihanul Abedin, Director (PSC) of Petrobangla, said Petrobangla would seek advice of the Energy Ministry and then decide on the matter.