The region comprising the countries around and in the proximity of the Bay of Bengal has remained relatively unexplored for energy. Following a few major discoveries of oil and natural gas, it is now becoming promising even as the energy requirements of a combined population exceeding 1.5 billion are growing exponentially. Here, the opportunities for regional cooperation are immense in a number of fields production of oil and gas, their transportation, trading in energy, and production facilities for renewable energy. New initiatives are necessary to fully tap their potential. This region is indeed a new energy frontier which has only recently been discovered. No doubt major challenges will need to be overcome. Common stakes and growing interdependence should, however, make it possible for the countries of the region to cooperate in the plans and programmes on energy.