No agreement with Oman Oil and Gas for refinery says Sri Lanka BOI

ECONOMYNEXT  – Sri Lanka’s Board of Investment said there was no agreement with Oman’s Ministry of Oil and Gas to invest up to 30 percent of equity in a refinery in the island following a news report which carried a denial from the oil rich state.

Sri Lankan officials originally said a Singapore-registered company, Silver Park International Private Ltd, will invest 3.85 billion US dollars in a refinery with the Oil and Gas Company of Oman taking a 30 percent stake.

"We are aware that there is no agreement that has been signed between Oman’s Ministry of Oil and Gas and Silver Park International PTE Ltd with regard to equity arrangements of the project," the Board of Investment said in a statement.

"However, we are aware that Oman Oil Company has registered their firm intention to participate in equity up to 30 percent, subject to reaching agreement between the parties.

"Furthermore, we are aware that Oman Trading International is willing to supply the entire feedstock requirement of the project as well as do the marketing for the products, upon reaching mutually agreed terms.

"The investor – Silver Park International PTE Ltd – has conveyed to the Board of Investment their full confidence in implementing the project."

A ground breaking ceremony is to be held on March 24, for a tank farm related to the refinery, officials said.

"No one on this side of the panel is aware of this investment in Sri Lanka," Reuters, a news agency quoted Salim al-Aufi, undersecretary of Oman’s ministry of oil and gas, as telling a new conference.

Reuters said Silverpark International was a unit of Accord group of India.

A Tamil Nadu-based Accord group linked to a politician had also has courted controversy in the past. (Colombo/Mar21/2019-SB)





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