Oil drilling in Mannar basin begins next year

Nadira GUNATILLEKE

Oil drilling in block number SL 2007-01-001 of the Mannar basin will commenced next year. Oil drilling in the Mannar basin will be done in three phases at a cost of US $ 172 million, a Petroleum Industries Ministry spokesman said.

According to the spokesman, oil drilling will commence under the direction of Petroleum Industries Minister Susil Premajayantha.

The first phase of oil drilling will take three years. It will cost US $ 112 million.

The second phase will take two years and will cost US $ 25 million. The third and final phase will take three years and will cost US $ 35 million.

Oil drilling will be done according to an agreement signed between the Sri Lankan Government and Cairn Lanka Company in July 2008.

Eight more oil drilling blocks have been identified in the Mannar basin, he said.