President Anura Dissanayake has unveiled plans to collaborate with India on developing an oil refinery in Trincomalee, a move poised to elevate Sri Lanka’s status as a significant global oil supplier. He noted that the existing 99 oil tanks in Trincomalee, complemented by storage facilities in Kolonnawa and Muthurajawela, exceed domestic requirements, paving the way for international collaborations.
Building on the 2022 agreement between Sri Lanka and India to jointly redevelop the historic Trincomalee Oil Tank Complex, discussions are underway between the Ceylon Petroleum Corporation and an Indian firm to establish a cutting-edge refinery in the area. This initiative aims to process and export petroleum products, leveraging existing infrastructure to position Sri Lanka as a regional energy powerhouse.
This venture aligns with the country’s broader goal of attracting foreign investment into its energy sector. Recently, Sri Lanka signed a groundbreaking $3.7 billion agreement with China’s Sinopec to construct an oil refinery in Hambantota, marking the largest foreign direct investment in the nation’s history. These initiatives underscore Sri Lanka’s commitment to transforming into a regional energy hub, utilizing its strategic geographical advantage and infrastructure assets.
