The terminal represents the company’s first of its kind in Asia. Credit: Andrey Sharpilo / Unsplash.

US-based New Fortress Energy has finalised a contract with the Government of Sri Lanka (GOSL) to build an offshore liquified natural gas (LNG) receiving, storage and regasification terminal.

To be located off the coast of Colombo, the new terminal is expected to be commissioned in 2023.

Go deeper with GlobalData

Data Insights

The gold standard of business intelligence.

Find out more

Related Company Profiles

View all

The agreement will provide the US-based firm with the rights to supply gas to the Kerawalapitya Power Complex, where a 310MW power plant is operational and an additional 700MW of power plants are scheduled to be built.

It will initially supply the equivalent of an estimated 1.2 million gallons of LNG a day to the GOSL. The volume is anticipated to grow as new power plants enter their operational phases.

The firm will also invest to purchase a 40% stake in West Coast Power (WCP), which owns the 310MW Yugadanavi Power Plant in Colombo.

This plant has a long-term power purchase agreement to provide electricity to the national grid, extending until 2035. Configured to operate on natural gas in the combined cycle, this plant features General Electric turbines.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

New Fortress Energy chairman and CEO Wes Edens said: “This is a significant milestone for Sri Lanka’s transition to cleaner fuels and more reliable, affordable power.

“We are pleased to partner with Sri Lanka by investing in modern energy infrastructure that will support sustainable economic development and environmental gains.”

New Fortress Energy earlier said that the new offshore terminal will for the first time introduce natural gas to the country.

The terminal, which represents the company’s first of its kind in Asia, is expected to contribute to the country’s efforts to transition to lower-carbon energy sources.

New Fortress Energy signed a framework agreement with the Government of Sri Lanka to build the LNG terminal earlier this year.