Risk of Sapugaskanda refinery closing

Saturday, 09 November 2013 - 9:37

The Ceylon Petroleum Corporation states that the crude oil in the Sapugaskanda refinery is only sufficient till tomorrow.


Issuing a statement, the CPC stated that the tanker scheduled to arrive today has been delayed by 2 or 3 days due to a mechanical failure and that due to the resulting shortage the Sapugaskanda refinery will have to be shut down.


The statement issued by the CPC further stated that unless a tanker transporting crude oil does not arrive in Sri Lanka before tomorrow the refinery will have to be shut down for several days.


The crude oil in the tanker that was scheduled to make port on the 27th of last month was reported to be crude oil that was subject to an embargo by the United States and subsequently the CPC took steps to cancel the order of crude oil in question.


The CPC further elaborated that although the CPC had placed an order for another shipment of crude oil but had to cancel that particular order due to several issues.


However the statement issued by the CPC also states that the CPC has enough refined fuel to ensure that there will be no shortage of fuel.


However, the petroleum trade unions state that if the refinery is shut down it will result in a loss of approximately 200 million rupees per day.

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