Sri Lanka is reportedly set to award a multi-billion dollar oil refinery project to the Chinese state-owned company Sinopec after a rival bidder withdrew.
According to Minister of Power and Energy Kanchana Wijesekera, the government is expected to soon conclude an investment agreement with Sinopec to build the country’s second refinery, next to the Hambantota Port.
Speaking to reporters, Minister Wijesekera said, “There were only two shortlisted bidders and Vitol withdrew. Now only Sinopec is left and we will finalize a deal with them in a few weeks.”
Sri Lanka had awarded the project, estimated to cost $3.85 billion, to Silver Park, an Indian family company based in Singapore.
The project was initially planned to be jointly funded by Oman and Silver Park for completion this year.
Despite a groundbreaking ceremony in 2019, with Silver Park failing to start construction, the government terminated the agreement in August and repossessed the 485 hectares of land allocated for the refinery project.
(newsradio.lk)
(Except for the headline, this story, originally published by newsradio.lk has not been edited by SLM staff)
