LIOC looks into lubricant exports

More tanks for Trincomalee:

Sanjeevi JAYASURIYA

Lanka Indian Oil Company is planning to expand its network to enable wider market reach.

Suresh Kumar

“We see a positive growth in the petroleum market due to accelerated economic activities and plan to expand our network. The company will be opening ten more sheds this year with plans to add 50 to 75 more sheds within the next five years,” Lanka Indian Oil Company Managing Director K.R. Suresh Kumar told Daily News Business.

The main focus of the company will be to cover the areas that Lanka IOC sheds are not present and more rural areas will be selected to build these sheds facilitating rapid development activities in the country.

The estimated investment per year will be Rs 500 million which will also be utilized to establish infrastructure facilities and in refurbishing activities.

The petroleum industry recorded a continuous growth since achieving peace in the country and it grew at the rate of 7 to 8 percent last year.

“We expect the growth momentum to continue and expanding our network will enable us to meet anticipated future demand. We will be improving the storage facilities at the Trincomalee storage terminal and will be constructing more tanks by upgrading infrastructure facilities. This will involve substantial investments, he said.

The Lanka IOC will venture into importing Bitumen and will become a regular supplier for on going road construction projects.

The company will also embark on lubricant exports focusing on Nepal, Mauritius, Africa and Bangladesh.

“We are looking intensively at these countries to make Sri Lanka a sourc for lubricant exports. Our global contacts will be looking forward to entering into bunkering activities at the Hambantota Port.

“The country’s growth prospects are positive and it will result in higher petroleum requirement and industrial growth,” Kumar said.