President to visit Middle East in Feb; Reveals future plans to export petroleum

While highlighting plans to embark on an official visit to the Middle East in February, President Anura Kumara Dissanayake outlined that the discussions will aim to bolster Sri Lanka’s energy and economic sectors.

Speaking at a public meeting, the President detailed ongoing discussions regarding the import of petroleum and the establishment of an oil refinery in collaboration with India.

Highlighting plans for an oil refinery, the President revealed that the project would be developed in partnership with India, with aspirations of exporting petroleum globally.

“We will join hands with the Indian company and build an oil refinery,” the President stated. “ We will refine the oil and store it in these warehouses and sell it to the world.”

He also briefed on the agreement with India to construct the Sampur power plant. “The ownership of the power plant is 50% to 50%. Earlier, electricity was to be provided at USD 07 cents per unit. We concluded negotiations to buy it at USD 5.97 cents. Now we are building that power plant,” he noted.

The President further elaborated on the status of the 99 oil tanks in Trincomalee. “We took 24 tanks and gave 14 to the IOC, leaving 61 more oil tanks,” he said, emphasizing the strategic importance of these facilities for the proposed refinery.

Commenting on fuel prices, the President acknowledged that while diesel prices have fallen below Rs. 300 under his administration, further reductions are not immediately feasible on a monthly basis due to financial constraints.

“The Petroleum Corporation owes Rs. 900 billion. The debt is paid on the basis of each liter of fuel sold. The excise duty will be removed once the debt is paid,” he explained.

Non-Refundable Loan from China

The President also highlighted ongoing infrastructure projects supported by China, including the construction of a conference hall in the Colombo Port City, financed through a grant of USD 1.2 million, and an oil refinery in Hambantota.

Anti-Corruption 

Addressing concerns over corruption, President Dissanayake assured the public that legal action against alleged wrongdoers is progressing.

“The work has now started. Cases are being filed vigorously,” he stated. “Previously, the files were hidden in the Attorney General’s Department. Cases are being filed quickly, don’t worry. Several cases will be concluded by the end of January”, he added.