Giving approval for some $1 billion of investment projects in Q1 2018, Sri Lanka’s Board of Investments has given the go-ahead for a $500 million LNG plant near the port.
According to Reuters, the country’s development strategies minister, Malik Samarawickrama, announced the investment plan on 5 May. The LNG facility, which will be constructed by China Machinery Engineering Corp., will be located near the Port of Hambantota, which is now controlled by China Merchants Port Holdings on a 99-year lease.
As reported previously, last September Sri Lanka also agreed to the development of an LNG import terminal at the Port of Colombo. India’s largest LNG importer Petronet LNG will set up a joint venture with Sri Lankan and Japanese companies to realise the project.