Lanka IOC, Indian Oil (IOC)’s subsidiary in Sri Lanka, is now exporting lubricants under the SERVO Indian brand to Nepal, Cameroon Island and Mauritius, with the company producing over six million litres per annum at its 5-million dollar blending plant in Trincomalee.
K. R. Suresh Kumar, Managing Director Lanka IOC PLC said the company has sent two containers (24,000 litres) of lubricant oil to Nepal and Cameroon Island and four more containers will be sent to Nepal and Mauritius soon. The plant has an annual production capacity of 18,000 metric tons, he said adding that LIOC has enough capacity to meet the future local demand.
Mr. Kumar said that Sri Lanka’s lubricant industry has recorded a growth of 20 % over the previous year due to the revival taking place in the North and East and due to the general economic boom in the country. The local lube market, estimated at about Rs 6 billion, is dominated by Chevron Texaco whose local operation is being carried out by Caltex Lanka Lubricants Ltd. The balance is split between 16 players including LIOC, Exxon Mobil/Esso, Valvoline, Shell, and British Petroleum/ Castrol. He added that the Public Utilities Commission of Sri Lanka (PUCSL) is monitoring the standard and quality as the regulating agency of lubricant oil supplied to the local market and all these companies have to obtain a license from PUCSL to operate in Sri Lanka.
The PUCSL has the authority to take action against the “product adulteration” which is taking place in the country at present, he said.
He disclosed that the jetty at the Trincomalee harbour which was in an unusable state has been renovated by the IOC, within six months at a cost of Rs.50 million to efficiently transport petroleum to the stores in the port. This will facilitate diesel and petrol imports to the country, he said.
The tank farm connects to the Trincomalee harbour, with a 56 km shoreline, making it most effective for fuel receipt, storage and supply, he added. |
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