Sri Lanka inks deal for US$4bn port based heavy industry complex

Chief Regulatory Officer at CSE Renuke Wijayawardhane presenting the listing certificate to Executive Chairperson at Renuka Hotels Shibani Thambiayah

June 14, 2012 (LBO) – Sri Lanka has signed a 4.0 billion US dollar deal to build port related heavy industries around the north eastern Trincomalee harbhour, the island’s state investment promotion agency said. Sri Lanka Gateway Industries (Pvt) Ltd, a foreign invested project company will build a deep water jetty, bulk commodities terminal with stockpiling and blending capabilities, a power generation plant and related industries, the Board of Investment said in a statement.

The project which will be implemented in three phases will involve investments of 4.0 billion US dollars, making it the largest foreign invested project, the agency said.

The statement quoted Prabath Nanayakkara, chairman of Sri Lanka Gateway Industries as saying that venture will change the economic landscape of the island.

BOI chief M MC Ferdinando said the deal indicated “growing international investor confidence in Sri Lanka.”

The project will get tax concessions under the island’s Strategic Development Act.

The company will manage and operate an industrial zone for heavy industries in the Trincomalee district.