The reported quoted Ceylon Petroleum Corporation managing director Susantha Silva as saying that he had requested US diplomats to facilitate the transactions by giving an assurance that banks and insurance firms will not be penalized.
On Friday, US had waivers to major Asian petroleum consumers for reducing their imports of Iranian oil and Sri Lanka was among twenty countries permitted to buy Iranian crude in limited quantities.
Sri Lanka used to import about 12 shipments of Iranian crude a year, it 2011 it was cut to 09.
State-run People's Bank and Bank of Ceylon feared opening letters of credit despite the waiver.
"It is understandable from their perspective because Sri Lanka’s economy would come to a standstill if they were blacklisted," the newspaper quoted de Silva as saying.
"This year we were allowed to import ten shipments in the six months since June but we couldn't."
Sri Lanka's only refinery operated by CPC is geared to run of low sulfur Iranian light. Other crudes yielded lower volumes of refined distillates at the refinery. Sri Lanka had been using Omani and Saudi Arabian crudes.Crudes with higher sulfur content had also reduced the lifespan of refinery parts adding to the cost, the report said.
