Hayleys to support oil and gas industry

Hayleys Advantis formed a joint venture with leading energy services group, Edgo Hayleys PLC, one of Sri Lanka’s oldest and most respected conglomerates, formalised plans to extend the Group’s expertise and interest into the oil and gas industry to support and facilitate efforts to explore, extract and develop hydrocarbon reserves in the country.

A milestone joint venture agreement signed in Colombo yesterday brings together the combined resources and synergies of Hayleys Adventist, one of the region’s significant marine services and transport logistics businesses, and the extensive expertise in oil and gas exploration of Edgo Merap, (part of the Edgo Group - www.edgo.com) in a new business entity seeking to provide support services and participate in oil and gas exploration and production activities anticipated in Sri Lanka and overseas locations over the next few years.

Hayleys Advantis Limited will own 51 per cent and have management and administrative control of the new entity Hayleys Energy Services (Pvt) Ltd. (HES) to be set up as a Board of Investment (BOI) company, while Edgo Merap would own 49 per cent and provide oil and gas sector expertise, an announcement from Hayleys Advantis said.

“Hayleys Advantis already has at its disposal one of South Asia’s more comprehensive transport and cargo logistics infrastructures covering sea, air and land,” said Hayleys Group Deputy Chairman Mohan Pandithage, one of the signatories to the joint venture agreement.

“With the sector-specific international expertise, experience and contacts of Edgo Merap, this joint venture will be up and running as a formidable total-service provider when exploration, and hopefully extraction, begins.” Chairperson of Edgo Merap Limited Koosum Kalyan said the company is very pleased at the prospects for the joint venture, to which it would also provide senior oil industry experts of the Edgo Group, an oilfield services provider which serves energy markets in more than 21 countries with 33 bases in the Middle East, Africa, Europe and North America.