Sri Lanka and India to jointly redevelop strategic Trincomalee Oil Tank Complex

Colombo: Sri Lanka has agreed to implement a joint project with India to redevelop the strategic World War II-era oil tank farm in the eastern port district of Trincomalee, the island nation's government announced here on Tuesday.

The Lankan government said that after reviewing the three existing agreements with the Indian government regarding the strategic Trincomalee Oil Tank Complex, commonly known as the Trinco Oil Tank Farm, the two sides have reached an agreement to implement a joint development project. The Cabinet has approved the proposal to allocate 24 and 14 oil tanks of Trincomalee Oil Tank Complex to Ceylon Petroleum Corporation and the local operators of the Indian Oil Company respectively while remaining 61 oil tanks are to be developed under Trinco Petroleum Terminal Pvt. Ltd, with shares of CPC (51%) & LIOC (49%).

The government said this joint venture will be for a lease period of 50 years.