Cabinet approval has been granted for the Ceylon Petroleum Corporation (CPC) to enter into the Liquefied Petroleum Gas (LP Gas) business in Sri Lanka.
The Government said the Sapugaskanda refinery that is owned by the CPC produces 70 to 90 metric tons of LP gas per day, which is 5% of the country’s demand.
Also, a feasibility study is being carried out to set up a new refinery with a capacity of 10,000 barrels per day, and plans are being drawn up to expedite the implementation of these development projects.
The Government pointed out that, accordingly, the Ceylon Petroleum Corporation has now recognized the importance of entering the gas market as the third competitor.
Thereby, the Cabinet of Ministers has approved the proposal tabled by the Minister of Energy to establish a subsidiary of the Ceylon Petroleum Corporation to enable it to start its Liquefied Petroleum Gas (LP Gas) business utilizing refined products. (NewsWire)