Asia/Pacific News
Hambantota Bunkering Could Be Competitive With More Storage, Says Industry Expert
Rohan de Silva, Chairman and Managing Director of McLarens Group Sri Lanka (McLarens), speaking at a recent forum of the Shippers Academy Colombo, said bunkering could become viable at Sri Lanka's Hambantota port if there was at least 120,000 tonnes of storage to support it, local media reports.
"Importing 10,000 tonnes is not competitive. If we can import 40,000-50,000 tonnes, we can match Singapore prices," said de Silva.
Currently, bunker storage facilities at Hambantota are reported to have a capacity of 51,000 tonnes.
But after years of delays and an eventual 2014 start of bunkering at the port, the government run marine fuel operation was halted the following year amid reports of mismanagement and a $19.9 million loss.
As Ship & Bunker reported in January, the subsequently elected Government of Sri Lanka and China Merchants Port Holdings Company (CMPort) signed a framework agreement in December outlining the management of the Port of Hambantota under a joint venture, which includes bunkering.
