Sri Lanka will be able to buy fuel from the proposed Chinese oil refinery to be set up in Hambantota under an agreement reached between the company and Sri Lanka’s Board of Investment. Under the agreement, Sri Lanka will be entitled to buy 20 percent of the production. China Petroleum & Chemical Corporation or Sinopec [...]

News

Fuel at lower prices from Chinese refinery in Hambantota

View(s):

Sri Lanka will be able to buy fuel from the proposed Chinese oil refinery to be set up in Hambantota under an agreement reached between the company and Sri Lanka’s Board of Investment.

Under the agreement, Sri Lanka will be entitled to buy 20 percent of the production.

China Petroleum & Chemical Corporation or Sinopec was selected to set up the refinery following a bidding process.

A Treasury official said that among the advantages, Sri Lanka would be able to buy fuel at a concessionary price and would benefit from reduced freight charges and insurance.

He said that in addition, when Sri Lanka issued fuel supply tenders, Sinopec would also be able to bid and provide supplies from its local refinery.

At the Hambantota refinery, 100,000 barrels of crude oil could be refined on a daily basis and the capacity would be gradually increased, the official said.

Sinopec would be bringing in an investment of US$ 1.7 billion during the first stage of the refinery, which would be set up fully in four years. The official said the government expected at least US$ 4.5 billion in investment over the years.

The refinery would be involved in the bunkering business too.

Share This Post

WhatsappDeliciousDiggGoogleStumbleuponRedditTechnoratiYahooBloggerMyspaceRSS

The best way to say that you found the home of your dreams is by finding it on Hitad.lk. We have listings for apartments for sale or rent in Sri Lanka, no matter what locale you're looking for! Whether you live in Colombo, Galle, Kandy, Matara, Jaffna and more - we've got them all!

Advertising Rates

Please contact the advertising office on 011 - 2479521 for the advertising rates.