China has already allocated 455 million dollars for a coal power project in northwestern Puttalam and Sri Lanka is negotiating a further 400 million dollars for its second and third phases, Peiris told reporters.
He did not say whether the funds came as aid or commercial loans.
The work on the coal plant in Puttalam on the coast is already underway and is scheduled to be completed in 2011.
The Chinese have already made available 307 million dollars to build a breakwater and for excavation for a new port in southern Hambantota, closed to the international shipping route.
Negotiations were underway for the second phase of Hambantota port to put up an oil tank farm and bunkering (ship fuel) facility costing 75 million