Sri Lanka to increase crude oil tank capacity and launch tripartite LNG plant in 2020
Sri Lanka’s Power and Energy Minister Mahinda Amaraweera has reportedly said that the country’s crude oil tank capacity will be doubled by 2020 while a tripartite agreement signed with India and Japan to set up an LNG terminal and power plant will be launched next year.
Addressing a meeting of at the state owned Ceylon Petroleum Corporation (CPC), Amaraweera has called for uninterrupted supply of quality fuel since there was an increasing public demand.
The Minister has said the government of Sri Lanka is planning for the current two-week fuel storage capacity to be increased to four weeks by 2020 in order to ensure there will not be any shortage of oil.
Amaraweera has further outlined the need to start the tripartite project signed among Sri Lanka, India and Japan in 2020, which is government-to-government agreement, to build a LNG terminal, a 300MW power plant and an LNG pipeline in Kerawalapitiya.
A new oil distribution pipeline will also be constructed from Colombo Port, the Minister has further observed.
OSL take:
The government of Sri Lanka is focused on addessing the imminent power crisis faced by the country as well as address the growing fuel requirement in the local market. This is indicative of the expanding business/investment opportunities in Sri Lanka’s power and energy sector as well as petroleum sectors.
| Article Code : | VBS/AT/17122019/Z_2 |