January 16, Colombo (LNW): Sri Lanka has successfully secured a major foreign direct investment (FDI) during President Anura Kumara Dissanayake’s ongoing state visit to China.
A landmark agreement, worth $3.7 billion, was signed today (16) to establish a state-of-the-art oil refinery in the Hambantota region, a statement by the President’s Media Division (PMD) confirmed.
The deal, formalised between Sri Lanka’s Ministry of Power and Energy and China’s Sinopec Corporation, will see the development of a refinery with a capacity to process 200,000 barrels of oil per day.
A significant portion of the refined product is expected to be allocated for export, contributing to Sri Lanka’s foreign exchange earnings.
This strategic investment aims to stimulate economic growth by bolstering the country’s energy sector while also creating jobs and fostering development in the Hambantota area.
The refinery is expected to have a positive ripple effect, benefiting local communities and contributing to the broader economic landscape of Sri Lanka.
The signing ceremony, which took place in the presence of key government officials, was attended by Sri Lanka’s Foreign Minister Vijitha Herath and Transport Minister Bimal Ratnayake.
The agreement is viewed as a significant milestone in the strengthening of bilateral ties between Sri Lanka and China, with both nations recognising the potential for this project to enhance economic cooperation and infrastructure development.
The new refinery will not only support Sri Lanka’s growing energy needs but also position the country as a more prominent player in the regional oil market.
