PM Wickremesinghe to sign-off on US$3.9 billion oil refinery and oil tank farm agreement at Mirijjawila EPZ

 An agreement to build an Oil refinery and Oil tank farm will be signed by Prime Minister Ranil Wickremesinghe on Sunday (March 24) at the Mirijjawila Export Processing Zone (EPZ) in Hambantota.

The refinery will be a joint venture between the Singapore-based Silver Park International Private Limited firm and the Sultanate of Oman’s Ministry of Oil and Gas.

The total investment for the project amounting to US$ 3.85 billion is reported to be the highest Foreign Direct Investment (FDI) record in the history for a single project, according to Deputy Minister International Trade, Nalin Bandara. 

Minister Bandara further added that an agreement would also be signed to build a cement manufacturing plant by Lanka Steel Corporation with ONYX Group of the UAE to the value of US$ 100 million. The two projects put together will create over 1,500 direct employment opportunities.

“The new Oil Refinery complex is the first to be set up after 1968 and is a 100% Foreign investment from Singapore and the Sultanate of Oman Ministry of Oil and Gas. Around 200 acres of land has been allocated for this project,” MInister Bandara said.

 He added that  Sri Lanka’s Lanka IOC and CPC too could be able to refine oil from them in the future at a lower price. He said that though there was much criticism of the Sri Lanka Singapore FTA, this investment came through the FTA.