Cabinet DECISIONS

Amendment to oil exploration phase I drilling programme

On the recommendation of President Mahinda Rajapaksa, the agreement signed with Cairn Lanka (Pvt) Ltd pertaining to oil exploration, which includes a minimum work programme including drilling, is to be amended.

Cabinet approval was granted to amend the Petroleum Resources Agreement by substituting the drilling programme while authorizing Petroleum Resources Developing Committee chairman to take all decisions pertaining to drilling operations during exploration.

Ranaviru Seva Authority Act to be amended

On a proposal made by the President as Defence Minister, the Cabinet of Ministers gave its approval to amend the composition of the board of management of the Ranaviru Seva Authority by inclusion of the following to its board of management:

Chief of Staff of the Sri Lanka Army, Chief of Staff of the Sri Lanka Navy and Chief of Staff of the Sri Lanka Air Force.

This authority was established by an Act of Parliament to promote the welfare of disabled members of the Armed Forces and the Police and of the dependents of the members of these Forces killed or missing in action.

Rs 470 million for construction of Elle wewa reservoir

On a proposal by Irrigation and Water Resources Management Minister Nimal Siripala de Silva, Cabinet approved the construction of Elle Wewa reservoir.

Implementation of this project at an estimated cost of Rs 470 million will alleviate the hardships faced by farmers in the area. Cultivation of paddy lands which was only 215 acres some time back has now been increased to 1,250 acres.

Repairs to internal road network at Rukmalgama housing scheme. On a proposal by Construction, Engineering Services Minister Wimal Weerawansa, Cabinet approval was granted to improve the internal road network of the Rukmalgama Housing Scheme in Rukmale village, Kottawa at a cost of Rs 21 million.

Tourism hub - the 'Katana City' to be developed

On a proposal by Economic Development Minister Basil Rajapaksa a large scale integrated tourism city in Katana which will be known as 'Katana City' on a state land of 80 ha, in Katana.

The project will comprise four Five Star Hotels with a total of 2,300 rooms, exhibition and convention centre, two shopping malls etc.

The envisaged foreign direct investment for Phase I is US $1.5 billion.

A Memorandum of Understanding to conduct a feasibility study will be signed with Katana City Development (Pvt) Ltd, a member of the Asian Resorts and Consortium after legal measures.