Sri Lanka is exploring the possibilities of private investments in oil refining and has invited several foreign companies to present their proposals, Minister for Petroleum, Chandima Weerakkody, said here on Tuesday.
Speaking to reporters, Weerakkody said that Sri Lanka is looking to get investments of an estimated US 4 billion dollars in the petroleum sector to meet domestic demand and also exploit export potential, keeping in view the strategic location of the island nation.
According to Sri Lanka's Central Bank, the country imported US 2.7 billion dollars worth of petroleum and petroleum products in 2015. Fuel imports accounted for 14.3 percent of the import bill. In 2014, when word prices were significantly higher, the fuel component of the country's import bill was as high as 23.7 percent.
Weerakkody said that Sri Lanka was seeking foreign partners to set up a refinery or improve matters at the existing one, to enhance domestic refining capacity.
He further said that the country was formulating a gas exploration policy for marketing and distribution as there were good reserves of gas in the Mannar basin in the northern part of the country.
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