SLPA, Litro Gas Terminal sign lease agreement for LPG tank facility at Hambantota port

Thursday, 21 November 2013 00:38 - - {{hitsCtrl.values.hits}}

The Sri Lanka Ports Authority (SLPA) and Litro Gas Terminal Lanka Ltd., yesterday reached a lease agreement for a LPG facility in the tank farm at Magam Ruhunupura Mahinda Rajapaksa Port (MRMRP). SLPA Chairman Dr. Priyath B. Wickrama and Litro Gas Terminal Lanka Ltd. Managing Director/CEO P. Kudabalage and Litro Gas Terminal Lanka Ltd. Director Neel Hapuhinne signed the agreement on behalf of the respective institutions. Litro Gas is the largest importer and supplier of LP gas in Sri Lanka. The country produces approximately 10% of its internal demand for LPG and depends on imported LPG to bridge the gap between demand and production. The SLPA has constructed 14 fuel tanks with all necessary facilities for storing bunkering fuel, aviation fuel and Liquid Petroleum Gas (LPG) under the Tank Farm and Bunkering Facility Project at MRMRP for an approximate cost of $ 100 million. This includes $ 76 million project for tanks facilities funded by the Export and Import Bank of China and $ 20 million project for infrastructures funded by Bank of Ceylon. Out of the above 14 tanks, three tanks with the capacity of 6000 square metres were constructed for storing LPG. SLPA officials discussed with Litro Gas Terminal Lanka Ltd. based on a proposal submitted by them to lease out the LPG Tank Facility at MRMRP which includes three tanks and an administration building with other common user facilities including loading arms and pipelines. The LPG facility is intended to be leased out to Litro Gas Terminal Lanka Ltd. for a term of 10 years. SLPA Managing Director Capt. Nihal Keppetipola, SLPA Director Finance Shirani Wanniarachchi, SLPA Director (Technical) A.D.T. Gunasekara, SLPA Director (Logistics) D.W. Atapattu, SLPA Director (Southern Port Development) Agil Hewageegana, SLPA Chief Law Officer Ragitha Siriwansa, SLPA Deputy Chief Manager Communication and Public Relations Division Nalin Aponso and SLPA Deputy Chief Engineer (Planning and Development) H.G.W. Panditha were also present at the occasion.