Oil exploration agreements signed: Sri Lanka to produce oil and gas by 2022
The Sri Lankan Government signed an agreement with two energy companies in Norway and France at the Ministry of Petroleum Resources Development yesterday (27) to carry out a two-year oil and gas exploration exercise in the Eastern seas.
The Government will join hands with French oil and gas company Total E&P and Norway’s Equinor to carry out explorations in two blocks identified J5 and J6 in the Eastern sea basin.
Speaking at the event, Minister of Petroleum Resources Development Kabir Hashim said that Sri Lanka will be an oil and natural gas producer by the year 2022 and noted that country has already entered into a study contract signed in 2016 with the two companies to explore the J5 and J6 blocks.
“Total has already surveyed 50,000 square kilometres on the East Coast as part of a previous study and Equinor will have a 30 per cent stake in the exploration as per the new agreement,” the Minister said.
The Minister further said that the studies carried out thus far and data gathered from a previous seismic survey resulted in a positive outcome.