By: Staff Writer
September 29, Colombo (LNW): LTL Holdings Limited, one of Sri Lanka’s largest engineering firms, is planning to list its shares on the stock market, aiming to raise at least Rs 20 billion, according to company insiders.
The initial public offering (IPO) is expected to be the largest in Sri Lanka’s history. Originally founded as Lanka Transformers Limited in the 1980s, LTL Holdings has grown to become the country’s leading engineering conglomerate.
On August 20, 2024, LTL Holdings entered a significant partnership with India’s Petronet LNG Limited, focusing on developing LNG infrastructure and supply in Sri Lanka.
The two companies signed a Memorandum of Understanding (MOU) and jointly submitted a proposal to Sri Lanka’s Ministry of Power and Energy, which received cabinet approval following a technical review.
This partnership represents a major step forward in Sri Lanka’s move toward cleaner and more sustainable energy solutions.
The MOU signing ceremony was attended by several high-ranking officials, including the Sri Lankan Minister of Power and Energy, Kanchana Wijesekara, and Dr. Satyanjal Pandey, the Deputy High Commissioner of India for Sri Lanka.
The partnership between LTL and Petronet LNG is set to focus on supplying liquefied natural gas (LNG) to the Sobadhanavi Power Plant in Kerawalapitiya, which will soon be operational.
This initiative, spearheaded by the governments of both Sri Lanka and India, aims to serve as an interim solution to introduce LNG into the country’s power generation mix.
Minister Wijesekara has emphasized the importance of reducing generation costs and ensuring that consumers benefit from lower electricity prices, urging both companies to expedite the development of a reliable energy solution.
The project will involve importing LNG from Petronet’s Kochi terminal in India to Colombo Port using ISO containers. Once the LNG arrives in Sri Lanka, it will be transported to a storage and regasification terminal in Kerawalapitiya, where it will be converted back to gas and sent to the Sobadhanavi Power Plant via a pipeline.
The power plant, owned and operated by Lakdhanavi Limited, LTL Holdings’ power development subsidiary, will add 350 MW to Sri Lanka’s grid by early 2025. Designed to run on natural gas and up to 30% hydrogen, this facility represents a significant leap in the country’s energy infrastructure.
LTL Holdings has long been committed to providing cost-effective power solutions as Sri Lanka’s first and largest independent power producer.
The company’s collaboration with Petronet aligns with Sri Lanka’s environmental goals, as LNG is a cleaner energy source that will help reduce greenhouse gas emissions. Furthermore, the cost efficiency of LNG is expected to lower electricity costs, providing economic relief to consumers while promoting sustainable development in Sri Lanka’s energy sector.
