Dr Sarath Obeysekera 

How Colombo Dockyard built the Shell Gas LPG Storage Terminal that later became Litro Gas

The construction of the Shell Gas LPG Terminal at Muthurajawela (Kerawalapitiya) during the late 1990s was one of the most technically demanding heavy engineering projects ever undertaken in Sri Lanka. It demonstrated that Sri Lankan engineers, welders and fabricators, under international supervision and strict quality standards, were capable of executing world-class petrochemical infrastructure.

Today the facility is operated by Litro Gas Terminal Lanka, following the Government’s acquisition of Shell Gas Lanka in 2010 and the creation of Litro Gas Lanka. 

Background

Following the privatization of Colombo Gas Company in 1995, Royal Dutch Shell acquired a controlling interest and embarked on a major modernization programme.

The centrepiece of this investment was a completely new LPG import and storage terminal at Muthurajawela, replacing the older storage arrangements and providing Sri Lanka with an internationally designed LPG receiving and storage facility. 

Engineering Management

The project was executed under international engineering standards.

The principal organizations involved included:

• Royal Dutch Shell – Project owner and supplier of critical engineering specifications and materials.
• Stork Engineers & Contractors B.V., Netherlands – Engineering management and construction supervision.
• Schelde SICON BV – Specialist engineering support and quality assurance.
• Colombo Dockyard PLC – Principal Sri Lankan construction contractor responsible for fabrication, erection, piping and mechanical works.
• An experienced Indian welding contractor supplied a large team of coded welders working alongside Colombo Dockyard personnel.

The project became a milestone in transferring advanced welding technology and petrochemical construction techniques to Sri Lankan industry. 

Major Facilities Constructed

The terminal included:

• Four pressurised spherical LPG storage vessels.
• Complete LPG unloading manifold.
• High-pressure transfer pipelines.
• Process piping.
• Firewater distribution system.
• Firewater storage tank.
• Pump house.
• Compressor systems.
• Instrumentation and control systems.
• Emergency shutdown system.
• Fire and gas detection system.
• Loading and filling facilities.

These systems were designed according to Shell’s global safety philosophy.

LPG Storage Spheres

The most striking feature of the terminal is the four large spherical storage vessels.

Approximate design characteristics:

• Four LPG spheres
• Approximately 4,000 m³ capacity each
• Total storage approximately 16,000 m³ (around 8,000 tonnes LPG depending on product density)
• Carbon steel construction
• Designed to international pressure vessel standards
• Mounted on multiple tubular support columns
• Complete stress-relieved weld construction
• 100% radiographic examination of critical welds
• Hydrostatic and pneumatic pressure testing before commissioning

Each sphere contains hundreds of tonnes of fabricated steel.

Materials

Most pressure vessel steel plates, forgings and specialized fittings were supplied through Shell’s international procurement system.

The project required:

• Pressure vessel quality carbon steel plates
• Forged nozzles
• High-strength support steel
• Imported welding consumables
• Cryogenic-compatible valves
• International quality piping materials
• Fire-safe valves
• Safety relief valves

Strict material traceability was maintained throughout fabrication.

Welding

The welding programme represented one of the largest undertaken in Sri Lanka at that time.

It involved:

• Qualified welders certified to international standards
• Approved Welding Procedure Specifications (WPS)
• Procedure Qualification Records (PQR)
• Welder qualification testing
• Radiographic examination
• Ultrasonic testing
• Magnetic particle inspection
• Dye penetrant inspection
• Heat treatment where required

Every pressure-containing weld underwent stringent inspection before acceptance.

Safety

Shell imposed exceptionally high safety standards.

The project achieved outstanding safety performance and later received national recognition for workplace safety.

Colombo Dockyard was commended for maintaining Shell’s rigorous international HSE requirements throughout construction. 

Colombo Dockyard’s Contribution

Colombo Dockyard undertook:

• Fabrication and erection of the four LPG spheres
• Fabrication of process piping
• Installation of mechanical equipment
• Firefighting systems
• Structural steel
• Commissioning support

This project firmly established Colombo Dockyard as one of South Asia’s leading heavy engineering contractors for petrochemical facilities.

The company has continued carrying out inspection, maintenance and repair work at the terminal ever since. 

Government Acquisition

In 2010, the Government of Sri Lanka repurchased Shell Gas Lanka through Sri Lanka Insurance Corporation, subsequently establishing Litro Gas Lanka Ltd.

The terminal became Litro Gas Terminal Lanka (Pvt) Ltd, while continuing to operate the same internationally designed LPG infrastructure originally developed by Shell. 

A Personal Reflection

This project remains one of the finest examples of Sri Lankan heavy engineering capability. Working together with Dutch engineering specialists, internationally qualified inspectors, and experienced Indian welding personnel, Colombo Dockyard successfully delivered a petrochemical facility built to world-class standards.

The Muthurajawela LPG Terminal demonstrated that Sri Lanka possesses the engineering talent required to fabricate complex pressure vessels, execute high-quality coded welding, and construct sophisticated oil and gas infrastructure. It stands as an enduring benchmark for the country’s offshore, petrochemical and heavy engineering industries and provides a model for future projects in Trincomalee and other strategic industrial zones.

Regards

Dr Sarath Obeysekera