March 29, Colombo (LNW):Showers or thundershowers will occur at several places in Western, Southern, Sabaragamuwa and Central provinces after 2.00 p.m.

Showers or thundershowers may occur at a few places in Uva and North-western provinces after 2.00 p.m.A few showers may occur in Eastern province.

Misty conditions can be expected at some places in Central, Sabaragamuwa, Uva and Western provinces and in Galle and Matara districts during the morning.

General public is kindly requested to take adequate precautions to minimize damages caused by temporary localized strong winds and lightning during thundershowers.

By: Staff Writer

March 28, Colombo (LNW): A green battery company is to be set up by Applied Graphite Technologies Corporation by advancing two natural vein graphite projects in Sri Lanka.

Applied Graphite Technologies is developing the Queens Mine Complex in Sri Lanka. The QMC is on private land in the heart of the vein graphite district, with historical workings and vein graphite outcrops.

Vein graphite is naturally high grade (+95% carbon content in the ground) and does not require primary processing.

Testing of vein graphite in lithium-ion battery anodes has shown very high capacities, performing better than synthetic graphite. Natural vein graphite has a far superior ESG footprint than synthetic and is cheaper without compromising performance.

Applied Graphite Technologies Corp. (“AGT”) (TSXV: AGT has purchased the past-producing Queen’s mine in Sri Lanka recenty towards this end, high official odthe company said.

The property is centrally located between AGT’s Dodangaslanda Graphite Properties. The combined properties will be called the Queens Mine Complex (“QMC”).

The Queens Mine was reported to be extracting high-grade graphite veins at a rate of 20 tonnes per month.

The former operator had intentions to ramp up production to 3,000 tonnes per year. Adits which provided access to the underground workings expose at least six graphite veins over a total width of 25 meters, with veins varying in thickness up to 0.4 metres.

It  had done extensive laboratory testing on its run-of-mine (“ROM”) tonnes which consisted of high-grade graphite +95 Cg. Vein graphite direct from the mine will sell for $2,000 per tonne.

 The ROM vein graphite, when upgraded to battery-quality graphite, sells for between $8,000 and $12,000 per tonne. The demand for battery ready graphite will reach five million tonnes per annum by 2030, according to Benchmark Mineral Intelligence.

AGT plans on making the QMC a priority to re-commence bulk shipping of the high-grade vein graphite material once it has completed its mine permitting and development on the prospect.

“We are extremely pleased to have acquired the QMC, thanks to our strategic in-country relationships,” comments Don Baxter, President, and CEO.

 “From my experience with multiple OEMs regarding battery ready graphite, they want to see the ability to produce large tonnages for their battery requirements.  The QMC will enable us to plan near term operations to illustrate potential from our properties to satisfy OEM requirements.”

AGT has granted 800,000 stock options at an exercise price of $0.15, with a five year term expiring March 23, 2029 to consultants, directors, and officers of the company.

By: Staff Writer

March 28, Colombo (LNW): Despite growing pressure to reform the travel Advisory on Sri Lanka, Britain on Tuesday said that its travel advice assessments are made by drawing on expert sources of information available to the government and that they ‘continue to keep Sri Lanka travel advise under close review.’

“The safety of British people is the main factor when determining our travel advice for all countries, including Sri Lanka.

Our advice is designed to help British people make informed decisions about foreign travel and remains under constant review to ensure it reflects our latest assessment of risks when travelling abroad,” Lord Ahmad of Wimbledon Minister of State-Foreign, Commonwealth and Development Office, said in UK Parliament.

He was responding to the question, whether the UK government has any plans to update the travel advice to Sri Lanka to reflect the security situation in that country.

“Our travel advice is based on objective assessments of the risks to British nationals. These assessments are made by drawing on expert sources of information available to the government including local knowledge from our embassies and information provided by the local authorities in each country.

We will continue to keep Sri Lanka travel advice under close review,” the Minister of State-Foreign, Commonwealth stated.

In the recent past, leading tourism providers from UK and Sri Lanka have urged its Government to reform the Foreign, Commonwealth and Development Office (FCDO) travel advice regarding the safety of Britons abroad.

During a recent debate in UK parliament, Lord Naseby has requested that the Travel Advisory be changed. As tourism plays a major role in the Sri Lankan economy.

Leading tourism providers from UK and Sri Lanka have urged its Government to reform the Foreign, Commonwealth and Development Office (FCDO) travel advice regarding the safety of Britons abroad.

In an open letter, the current advice is labelled ‘overly harsh’ by campaigners who condemned the Government for ‘systematically undermining the travel industry’ in Sri Lanka and demands for a new approach to achieve ‘consistency’.

The open letter also details the effect on Sri Lanka’s tourism industry, which currently employs over 380,000 people last year. The campaign claims that the advice could damage tourism to Sri Lanka, negatively impacting the one in five people in Sri Lanka who rely on income generated by tourism.

Experience Travel Group Co-founder and Managing Director Sam Clark said: “It is clear that the FCDO travel advice is no longer fit for purpose in relation to Sri Lanka. 

March 28, Colombo (LNW): Industry experts are considering strategies to mitigate the current high prices of Sri Lankan graphite, with one proposed approach being a reduction in the depth of mining operations.

The depth of graphite deposits in existing mines is a key factor contributing to the high costs, Bogala Graphite PLC CEO, Amila Jayasinghe, emphasised.

He suggested that by limiting operations to depths of 10-20 metres from the surface, mining expenses could be substantially reduced.

However, Jayasinghe stressed the importance of expanding mining activities to new sites, contingent upon the establishment of robust regulatory frameworks.

These insights were shared during a discussion organised by the Institute of Policy Studies (IPS) aimed at addressing the challenges and opportunities within Sri Lanka’s graphite industry.

Jayasinghe highlighted obstacles such as the opacity surrounding the process of obtaining mining permits from authorities, which serves as a deterrent to potential foreign investment.

Additionally, he pointed out that the royalty fees imposed on value-added graphite exports incentivise the export of raw graphite to foreign markets, posing a disadvantage to local producers.

Professor Anura Wijayapala of the University of Moratuwa underscored Sri Lanka’s potential to capitalise on the growing electric vehicle market by branding its graphite as superior in quality and sustainably produced.

While Sri Lanka’s current graphite reserves may not meet US demand, there is an opportunity to leverage the country’s reputation for environmentally friendly practices to command higher prices in the global market.

The environmentally conscious manufacturing practices prevalent in Sri Lanka, including the extensive use of renewable energy sources, present an opportunity to label Sri Lankan graphite as “green graphite.”

With approximately 50 per cent of the country’s electricity sourced from renewables and comparatively low greenhouse gas emissions, Sri Lanka can position its graphite industry as environmentally responsible.

According to an IPS study titled ‘Trade Wars in Electric Vehicle Supply Chains: A Win for Sri Lanka’s Graphite Industry?‘, the success of the Sri Lankan graphite sector hinges on strategic market positioning, international collaborations, and adoption of green manufacturing practices.

With strategic foresight and innovation, Sri Lanka’s graphite industry stands poised to emerge as a significant player in the global supply chain for electric vehicle components.

March 28, Colombo (LNW): Sri Lankan Prime Minister Dinesh Gunawardena, currently undertaking a state visit to China, convened with President Xi Jinping on Wednesday (27) at the Great Hall of the People in Beijing.

During their deliberations, both leaders reaffirmed their commitment to fostering bilateral relations grounded in principles of friendship, peace, mutual respect, and non-interference in internal affairs—an approach consistent with the Five Principles of Peaceful Coexistence.

The importance of nurturing mutual respect and productivity between the two nations was underscored, with the understanding that such cooperation serves as a model for constructive engagement on the international stage.

President Xi reiterated China’s steadfast support for Sri Lanka’s endeavours toward political and socioeconomic advancement, emphasising China’s unwavering stance in safeguarding Sri Lanka’s independence, territorial integrity, and sovereignty.

Expressing gratitude for the historical ties between their families, President Xi acknowledged the support extended by Prime Minister Gunawardena’s father, Philip Gunawardena, to China.

He noted the mutual desire of the Sri Lankan Prime Minister’s party and other political entities in Sri Lanka to deepen collaboration with the Chinese Communist Party.

In turn, Prime Minister Gunawardena expressed appreciation for China’s assistance during Sri Lanka’s recent economic challenges and its provision of debt restructuring facilities.

He provided an update on the progress made in implementing agreements reached during President Ranil Wickremesinghe’s previous visit to China.

The Prime Minister also extended gratitude to President Xi for China’s support across various sectors, including education, agriculture, health, technology, culture, and religion.

Accompanying Prime Minister Gunawardena were Finance State Minister Shehan Semasinghe, Home Affairs State Minister Ashoka Priyantha, MP Yadamini Gunawardena, Chinese Ambassador to Sri Lanka Qi Zhenhong, and Prime Minister’s Secretary Anura Dissanayake.

March 28, Colombo (LNW): President Ranil Wickremesinghe conducted an inspection tour, visiting the John de Silva Memorial Theatre and the National Art Gallery, both of which have faced prolonged delays in completion since construction began in 2011, reported the President’s Media Division.

During his visit, President Wickremesinghe urged officials to expedite the opening of the National Art Gallery by the end of the year, stressing the importance of consensus among artists and architects.

He assured government support for necessary financial allocations to facilitate this process.

Furthermore, the President emphasised the need for high-quality yet affordable theatres in Colombo, questioning the feasibility of such facilities following the completion of the John de Silva Theatre.

President Ranil Wickremesinghe highlighted the significance of consulting dramatists before finalising decisions on construction and maintenance projects.

He directed the Ministry Secretary to explore options for revitalising the Lumbini Theatre and the Nawarangahala, while also initiating plans for the construction of a drama theatre at Colombo’s Sudarshi Premises.

Additionally, President Wickremesinghe underscored the importance of establishing a national cultural zone, encompassing key venues such as the Nelum Pokuna, Kalabhavana, John de Silva Memorial Theatre, Museum, and related areas.

He tasked the Ministry of Cultural Affairs with preparing a comprehensive report on this initiative.

Furthermore, he urged officials to elevate Sri Lanka’s museum system to international standards and instructed them to identify a suitable country for mentorship in this endeavour.

Accompanying the President during the event were Secretary of the Ministry of Buddha Sasana, Religious and Cultural Affairs Somaratne Vidanapathirana, Additional Secretary Thilak Hettiarachchi, Director General of the Department of Cultural Affairs Yasintha Gunawardena, the team of architects from the University of Moratuwa involved in the design of these buildings, and Navy officers overseeing the National Art Gallery renovations.

Several prominent artists including Prof. Praneeth Abhayasundara, Prof. Chandragupta Thenuwara, Parakrama Niriella, Mohamed Safeer, and Saman Athaudahetti also addressed the gathering, sharing their perspectives on behalf of the artistic community.

March 28, Colombo (LNW): The government has enacted a reduction in the special commodity levy on imported onions and rice, effective from March 27.

Specifically, the Special Commodity Levy previously set at Rs. 65 per 1kg of rice has been adjusted to Rs. 1, a measure set to remain in effect until April 03, 2024.

Additionally, President Ranil Wickremesinghe has directed a reduction in the tax imposed on imported other onions (Rose Onions) to Rs. 10 per kilogram, applicable until April 30, 2024.

This directive, issued by the President, stems from the authority vested in him under the Special Commodity Levy Act, No. 48 of 2007.

By: Isuru Parakrama

March 28, Colombo (LNW): Showers or thundershowers will occur in Western, Southern, Sabaragamuwa, Central, Uva, and North-western provinces after 2.00 p.m, and fairly heavy showers above 75 mm are likely at some places in Western, Southern and Sabaragamuwa provinces, the Department of Meteorology said in its daily weather forecast today (28).

Several spells of showers may occur in Eastern province, the statement added.

Misty conditions can be expected at some places in Central, Sabaragamuwa, Uva and Western provinces and in Galle and Matara districts during the morning.

General public is kindly requested to take adequate precautions to minimise damages caused by temporary localised strong winds and lightning during thundershowers.

Marine Weather:

Meanwhile, heat index, the temperature felt on human body is expected to increase up to ‘Caution level’ at some places in Western, North-western and North-Central provinces and Mannar, Vavuniya, Mullaitivu and Galle districts districts.

The public is urged to stay hydrated and take breaks in the shade as often as possible, check up on the elderly and the sick, never leave children unattended, limit strenuous outdoor activities, find shade and stay hydrated, wear lightweight and white or light-coloured clothing.

By: Staff Writer

March 27, Colombo (LNW): The year 2024 is already seeing a turnaround for private equity deals with Sri Lanka expecting deals amounting up to USD 250 million, says the Hong Kong-based merchant banking firm MCM Partners.

Managing Director of MCM Partners Jahnavi Bhagwati explained as to why she sees a turnaround for private equity deals in 2024 as opposed to a sluggish 2023.

According to her, countries like India and Sri Lanka, which is a turnaround story, are going to present opportunities in the private space this year after the Bank of Japan raised interest rates in March, ending the country’s historic era of negative interest rates in a move that marked a historic shift in monetary policy.

Bhagwati mentioned that the stock markets in the region are already seeing a pickup as inflation has been curbed, adding that investment activity will spur when rate cuts kick in.

Noting that a flurry of more activity is observed in private market space in 2024 compared to last year, the MCM Partners’ Managing Director acknowledged that 2023 was a very difficult year, except for Japan, throughout which the rest of the market suffered. “But we are seeing a turnaround now in terms of investor interest, in terms of people wanting to look for opportunities.”

Speaking further, she said, “I myself have been asked in Sri Lanka for different investment opportunities. As you know the IMF has made almost USD 3 billion of commitments in terms of a loan. But there are some points that they [Sri Lanka] needs to adhere to for the provisions of that loan.

Therefore, Sri Lanka has several huge assets which are being divested, and a lot of institutional players and investors are looking to come in which will also spur activity there.”

When asked about the sizes of these equity deals, Bhagwati said Sri Lanka is expecting deals of about USD 250 million whereas Bangladesh is anticipating a potential deal amounting to USD 1 billion. Meanwhile, in India, the deal sizes are small, ranging between USD 10 million – 20 million and up to half a billion, she added.

By: Staff Writer

March 27, Colombo (LNW): Sri Lanka will recommence the construction work of its expressways that have been postponed for several years, by shifting the projects currently handled by the Road Development Authority (RDA) to Sahasya Investments Ltd. (SIL), a State institution operating under the purview of the Treasury,

Government approval was granted for the shifting of the expressway network from the Road Development Authority (RDA) to Sahasya Investment Limited.

While addressing the media, Cabinet spokesman Minister Bandula Gunawardana said after shifting the expressway network to Sahasya Investment Limited, the land owned by highways, highway loans, and related staff can be managed more commercially.

The respective action plan was approved at the Cabinet meeting held on February 5.Accordingly, the proposal presented by the Transport and Highways Minister is to shift the daily operations and management of expressways to Sahasya Investment Limited from April 2024.

This was in accordance with a formal management agreement and to transfer all the relevant assets to Sasahasya Investments Limited within six months consequent to a legal and financial feasibility study jointly conducted by the Road Development Authority and Sahasya Investments Limited.

The Government will be considering investments for all expressway projects for which the proposals have already been submitted, including those that have been suspended over the past several years.

Accordingly, investments are expected for the Central Expressway Project (CEP), Ruwanpura Expressway Project (REP), and the Elevated Highway Project from New Kelani Bridge to Athurugiriya.

The RDA engages with the maintenance of the assigned roads, including the expressway network. It provides public services which cannot be commercially priced (except the expressway network). In this sense, the RDA is a non-commercial State-Owned Enterprise (SOE).

.The proposals for which Cabinet approval has been granted include to separate the expressway network, lands, loans (local), and staff from the RDA and assign them to SIL to manage them in a more commercial manner.

It is also proposed to reconstitute the Board of Directors of SIL with independent directors with the required expertise and industry knowledge and revalue its assets with current market prices to improve the balance sheet of the entity.

Further, the Treasury will provide the gap financing facility to SIL to pay the loans obtained for the construction of the expressways until the SIL improves its financial position to enable a loan repayment capacity.

It is also proposed to explore the possibility of implementing the new expressways and existing expressways under the Public-Private Partnership (PPP) model arranged by SIL with the advice of the PPP Unit established under the Ministry of Finance, Economic Stabilisation, and National Policies.