SL, Sinopec sign deal in Beijing for $ 3.7 b refinery in Hambantota: PMD

Friday, 17 January 2025 00:36 - - {{hitsCtrl.values.hits}}

The President’s Media Division yesterday revealed that a $ 3.7 billion investment by leading Chinese global petroleum firm Sinopec was formalised with the signing of an agreement with the Ministry of Energy,

This took place during the four-day visit of President Anura Kumara Dissanayake yesterday in Beijing.

The PMD release identified it as a “significant milestone by securing the largest foreign direct investment to date.”

However Sinopec’s refinery project was first approved by the Cabinet of Ministers in November 2023.

The PMD release yesterday said under this $ 3.7 billion investment, a state-of-the-art oil refinery with a capacity of 200,000 barrels will be constructed in the Hambantota region. A substantial portion of the refinery’s output is planned for export, further enhancing the nation’s foreign exchange earnings.

This major investment from China is expected to bolster Sri Lanka’s economic growth while uplifting the livelihoods of low-income communities in the Hambantota area. Moreover, the benefits of this project are anticipated to positively impact the overall Sri Lankan population in the near future.The signing ceremony was attended by Minister of Foreign Affairs, Labour and Tourism Vijitha Herath, Minister of Transport, Highways, Ports and Civil Aviation Bimal Rathnayake, and Director General of Government Information H.S.K.J. Bandara, alongside other dignitaries.