LIOC plans further expansion

Saturday, 1 January 2011 00:01 - - {{hitsCtrl.values.hits}}

Sri Lanka’s largest corporate entity Lanka IOC Plc (LIOC) has announced plans to invest in further expansion of its distribution network and product lines and to upgrade infrastructure in response to the growing demand for petroleum products in the country.

The company, which posted net revenue of Rs. 50.2 billion in 2009-10 to top the LMD 50 rankings for the third consecutive year said it would refurbish infrastructure at its Trincomalee terminal complex and create additional facilities as part of its commitment to provide energy security to Sri Lanka.“We are proud to head the prestigious LMD 50 ranking of the largest listed businesses in the country,” LIOC Managing Director K. R. Suresh Kumar said.

“The year that just ended was a good one for the petroleum industry in Sri Lanka, with consumption growing six to seven per cent. We expect this trend to continue, necessitating medium and long term investments in storage and distribution infrastructure,” he added.

He said the industry would be on an even sounder footing if a suitable pricing mechanism, appropriate duty structure and a facility for low cost loans for capital expenditure were put in place by the government.

An overseas venture of Indian Oil Corporation Ltd., a Fortune 500 company with a ranking of 125 on the magazine’s 2010 Global 500 listing, Lanka IOC Plc commenced business in Sri Lanka in August 2002. Besides the import and distribution of fuels, Bitumen and Lubricants, the company offers value added services such as Nitrogen for tyres, Convenio stores, bank ATMs, financial services, telecommunication centres, restaurants, money transfer facilities, ServoXpress vehicle service centres and emission check centres via its 153-strong fuel station network in Sri Lanka.