Shell opens first fuel station in Sri Lanka
The Morning: The first Shell branded fuel station was recently opened in Sri Lanka at B. S. Cooray Filling Station, Ambathale.
This follows the signing of a retail brand license agreement by Shell Brands International AG (Shell) and RM Parks (Private) Limited, and affiliates of Shell and RM Parks (Private) Limited signing a product supply agreement in March 2024.
RM Parks (Private) Limited is a partnership of the Tristar Group (Tristar), a fully integrated energy logistics business serving the downstream oil and gas industry, and RM Parks Inc., an experienced distributor of Shell fuels in the North American fuel retailing market.
RM Parks (Private) Limited will rebrand a network of 150 retail fuel stations across Sri Lanka to Shell, which was awarded a contract to operate for an initial period of 20 years by the Sri Lankan Ministry of Petroleum and Energy in 2023.
Tristar Group CEO Eugene Mayne said: “This strategic partnership marks a significant milestone in Sri Lanka’s energy sector, bringing together RM Parks’ extensive experience in fuel distribution and Tristar’s strong logistics and supply chain capabilities. The collaboration aims to enhance the country’s fuel retail landscape by introducing global best practices, superior service standards, and innovative energy solutions to benefit Sri Lankan consumers.
RM Parks Inc. President Jason Callison said: “Today is a wonderful step forward as we open our first Shell-branded location. For over a century, Shell has been a name synonymous with excellence, trust and innovation in the global energy sector. Shell is not only known for its quality fuel and lubricants but also for its commitment to sustainability, technology and community development. RM Parks Inc., a third-generation petroleum marketer in the US and Mexico and Tristar Group, one of the leading energy logistics companies in the world, are excited to bring this legacy back to Sri Lanka and partner in the country’s future growth and development.”
“We are thankful to the Sri Lankan people for giving us this opportunity and we look forward to being the very best stewards for the country,” US Ambassador to Sri Lanka Julie Chung said. “The launch of Shell-branded fuel stations in Sri Lanka is a milestone, providing reliable fuel distribution options to a country that has experienced shortages.”
With California-based RM Parks Inc. at the helm of distribution, known for its leadership in the industry and commitment to quality service, this partnership is a great example of American business solving global energy challenges.
OSL take:
Sri Lanka’s ongoing economic activities and overall economic expansion have resulted in the increasing demand in the local energy industry. Sri Lanka’s strategic positioning in the Indian Ocean and the target of becoming a hub in the South Asian region have all helped boost the country’s demand for energy as well as related sectors. With Sri Lankan authorities opening up the country’s retail fuel market as well as the opening of opportunities to set up oil bunkering operations at key ports in the country have presented many business/investment opportunities for foreign businesses/investors. The growth and profits recorded by foreign players in Sri Lanka’s energy market are indicative of the increasing business potential in the local energy industry. Also, the Sri Lankan government’s move to set up new oil refineries in the country and the interest shown by China’s Sinopec to set up a refinery in Hambantota in close proximity to the Hambantota Port further indicates the growing business potential in Sri Lanka’s energy industry. All these developments indicate a steadily growing energy industry in Sri Lanka and foreign businesses/investors could therefore confidently explore the opportunities in the industry as it could also enable foreign businesses to do business with countries in the region as well as enter the maritime industry.
| Article Code : | VBS/AT/20250305/Z_1 |