Lanka faces possible closure of sole oil refinery

Sri Lanka today said it faces the possible closure of its only refinery due to non-arrival of crude oil supplies from sanctions-hit Iran.
"It was forced to cancel a crude oil shipment which was due to arrive on October 27 as it was feared that the consignment may have been affected by US sanctions," a statement by the state-run Ceylon Petroleum Corporation said.
Sri Lanka which imports 90 per cent of its crude oil requirements from Iran was affected by the US sanctions on Tehran over its controversial nuclear programme.
Following representations, the US had allowed a limited waiver of the sanctions.

Sri Lanka was among nine nations to which the US extended waivers last June after Sri Lanka had considerably reduced Iranian purchases.
"The shipment which was due to arrive on November 9, will be delayed by 2-3 days due to a technical glitch", the statement added.

It said that if the shipment was to be delayed beyond November 10, the refinery at Sapugaskanda just outside here may have to shut down for a few days.
Sapugaskanda is geared to refine Iranian crude only.
"We will not experience any fuel shortage as we have ample stocks," Petroleum Minister Anura Yapa said.