Trinco oil tanks deal not scrapped - Indian HC | Daily News

Trinco oil tanks deal not scrapped - Indian HC

The Indian High Commission in Colombo on Thursday night issued a press statement stressing that the deal between the two countries on the 99 World War II-era Trincomalee oil tanks has not been scrapped.

“There is no truth in reports in some sections of the media that the understanding between India and Sri Lanka on jointly developing and operating the Upper Tank Farm at Trincomalee has been ‘scrapped’.

“These reports did not correctly portray remarks made by the Minister of Energy of Sri Lanka at an event on February 17, 2021. The Minister has himself clarified the matter in detail today through a press briefing.

“As indicated in the Minister’s briefing also, the two Governments have consulted each other to explore mutually acceptable modalities for jointly developing and operating the facility in accordance with existing bilateral understandings, including the MoU of 2017. “India looks forward to formal discussions on the matter, and expeditious implementation of their outcome to mutual benefit,” the press statement clarified.

Energy Minister Udaya Gammanpila told the media recently that negotiations were on with the Indian Government to re-acquire the Trincomalee oil storage tanks leased to the Indian Oil Corporation in 2003.

He however explained that a joint company of the Ceylon Petroleum Corporation (CPC) and the Lanka Indian Oil Company (LIOC) would be formed for the operation of the oil tank farm retaining a majority stake for the CPC.