Sri Lanka US$750mn sea reclamation to China Harbour

Dec 02, 2011 (LBO) – Sri Lanka is in talks with China Harbour Engineering Company (CHEC) to reclaim 500 acres from the sea next to Colombo Port for a 750 million dollar project, an official said.

Sri Lanka has said five acres of land in Colombo’s Galle Face beachfront, which is near the port, will be sold on a 99-year lease to India’s ITC for 73.5 million dollars.

Chairman of state-run Sri Lanka Ports Authority, Priyath Bandu Wickrema said China Harbour will get a part of the reclaimed land on lease in return for their investment.

“We are giving a piece of the land on lease to them for the investment,” Wickrema said.

“We might invest as well.”

He said the share of investment will be decided on a valuation of the 500 acres of reclaimed land. All reclaimed land will be owned by the ports authority.

Wickrema said the reclamation may start in the first quarter of 2012.