The Cabinet of Ministers has green-lighted the establishment of a subsidiary of the Ceylon Petroleum Corporation (CPC) to venture into the liquefied petroleum (LP) gas business, the Government Information Department said in a press release.
The proposal was tabled in the Cabinet meeting by the Energy Minister.
Sapugaskanda Oil Refinery produces nearly 70 to 90 metric tons of liquefied gas daily, covering 5% of the country’s demand.
At present, a feasibility study is underway to establish a new refinery with a capacity of 10,000 barrels and to improve the existing refinery, the Govt. Information Department said further, adding that plans are afoot to initiate the relevant development projects without delay.
Accordingly, the authorities identified the importance of the CPC venturing into LP gas business and establishing a subsidiary for this purpose.