Sri Lankan government awards the procurement contracts for purchasing refined petroleum products to Gulf Petrochem FZC
The Cabinet of Ministers in Sri Lanka has recently granted approval to Gulf Petrochem FZC to purchase refined petroleum products for Sri Lanka. Gulf Petrochem FZC is a company in the United Arab Emirates founded by two brothers of Indian origin, Ashok Goel and Sudhir Goyel.
The Cabinet had reportedly granted approval to Gulf Petrochem FZC following a proposal made by the Minister of Petroleum Resources Development in Sri Lanka, Arjuna Ranatunga.
The Cabinet decision has reportedly noted that with a view to maintaining the petroleum stocks at an optimal level, it was decided to enter into two term contracts for purchasing refined petroleum products within a period of ten (10) months from the 1st of September 2018 up to the 30th of June 2019.
Accordingly, the proposal made by Ranatunga to award the procurement contracts for purchasing the petroleum products to M/s Gulf Petrochem FZC of the United Arab Emirates, as recommended by the Special Standing Cabinet Appointed Procurement Committee (SSCAPC), was approved by the Cabinet.
Gulf Petrochem (FZC) Group is a company operating in the downstream and midstream sectors of the oil and energy industry. It has six divisions in Oil Trading and Bunkering, Oil Refining, Grease Manufacturing, Oil Terminals, Bitumen Manufacturing, and Shipping and Logistics.
OSL take:
The Cabinet decision to grant approvals to Gulf Petrochem FZC of the UAE to purchase petroleum products for Sri Lanka is part of a process carried out on a frequent basis. Therefore, foreign companies engaged in the petroleum business could look at presenting their proposals to the Sri Lankan government and bid for tenders when procurement calls are made. The Sri Lankan government is also looking at modernizing the existing refinery as well as setting up a new refinery. These are also opportunities that could be explored by foreign companies.
| Article Code : | VBS/AT/21082018/Z_7 |