Udaya Gammanpila India Sri Lanka Britain county Bay Government reports BAY Udaya Gammanpila India Sri Lanka Britain county Bay

Trincomalee Oil Tank Farm: Is it only worth USD 500 Million?

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COLOMBO (News 1st): Sri Lanka’s Cabinet of Minister has approved the proposal for a new deal to jointly develop the Trincomalee oil tank farm with India.The Cabinet of Ministers approved to allocate 24 oil tanks for the business activities of the Ceylon Petroleum Corporation and to allocate 14 tanks of the Lower Oil Tank Complex already in use by Lanka IOC for the company’s business activities.The Cabinet also approved to implement a development project by a company named Trinco Petroleum Terminal Pvt.

Ltd for the remaining 61 tanks, of which 51% will be owned by Ceylon Petroleum Corporation and 49% by Lanka IOC.According to Sri Lanka’s Energy Minister Udaya Gammanpila, this deal will bring Sri Lanka USD 500 Million.Why is the Trincomalee Oil Tank Farm so important?Trincomalee Harbour is a seaport in Trincomalee Bay or Koddiyar Bay, a large natural harbour situated on the northeastern coast of Sri Lanka.The harbour, one of the largest natural harbours in the world, is overlooked by terraced highlands, and its entrance is guarded by two headlands, while it is well protected from the gale monsoon winds.PORT DIMENSIONSWater – 1630 hectaresEntrance channel – 500 metersLand Area – 5261 hectaresThe Trincomalee Harbour is bordered by Foul Point and Fort Fredrick, and importantly this harbur can accommodate multiple vessels at any given time.During World War II, the Trincomalee Harbour was an important position and stronghold, and construction by the Oil Tank Farm by the British commenced in 1928, and it was completed in 1938.Trincomalee harbour being the second deepest natural harbour in the world, the British who were in control of the island decided to make this their primary logistics station in the east, covering 850.

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