Minister of Health, Nutrition and Indigenous Medicine and cabinet spokesman Dr. Rajitha Senaratne revealed that Iran has agreed to upgrade Sri Lanka’s state owned refinery and build a new oil refinery. Addressing Reuters, Senaratne stated that Iran has promised to send a team for further talks.

Chinese, Middle Eastern and Russian companies are also in preliminary discussions to build a 100,000 barrel per day (bpd) refinery for the Ceylon Petroleum Corporation (CPC). Two Chinese companies have jointly bid for a 100,000 bpd refinery with an annual output of about five million tonnes a year in Hambantota. Sri Lanka has also held discussions for another refinery in partnership with Indian Oil Corporation.