Dr. Sarath Obeysekera
Former CEO, Colombo Dockyard PLC
Former Chairman, Sri Lanka Land Reclamation and Development Corporation
Chairman, Advisory Board for Marine and Offshore Industries

1. Principal Request to the Government and SLPA

● The Sri Lanka Ports Authority (SLPA) should reserve and formally allocate:

● A suitable waterfront area at Mud Cove for a boatbuilding, repair and marine-services zone.

● A suitable land-and-water area at Clappenburg Bay for an offshore engineering, ship-repair, rig-support and lay-up hub.

● These areas should be protected from incompatible development and incorporated into the long-term Trincomalee Port Development Plan.

● Development should be undertaken through transparent long-term leases or public–private partnerships, without requiring the Government to finance the entire project.

2. Strategic Rationale

● Trincomalee possesses a deep, sheltered natural harbour capable of accommodating large ships, offshore vessels, rigs and floating production units.

● It has extensive anchorage areas suitable for vessel and offshore-rig lay-up.

● Sri Lanka is a comparatively neutral location in the Indian Ocean and can serve vessels seeking alternatives to yards affected by regional congestion or geopolitical tensions.

● Trincomalee provides strategic access to the Bay of Bengal, India, Southeast Asia and the main Indian Ocean maritime network.

● The harbour has sufficient potential to accommodate industrial activities, workshops, storage areas, repair facilities and supporting marine services.

● The British use of Trincomalee as a major naval base demonstrates its long-recognised maritime and strategic value.

3. Mud Cove Boatbuilding and Marine Services Zone

SLPA should allocate Mud Cove primarily for:

● Construction of small and medium-sized commercial vessels.

● Fishing boats, patrol boats, passenger craft, workboats and harbour craft.

● Yacht and leisure-craft construction and maintenance.

● Repair of tugs, barges, landing craft and offshore-support vessels.

● Fibreglass, aluminium and steel boatbuilding.

● Engine, electrical, hydraulic and navigation-equipment services.

● Boat lifting, launching and hardstand facilities.

● Marine-component manufacturing and storage.

● Training of welders, fabricators, marine electricians, mechanics and boatbuilders.

● Facilities for local boatbuilders and small and medium-sized marine enterprises.

4. Clappenburg Offshore Industry Hub

The Clappenburg area should be reserved for larger and heavier industrial activities, including:

● Hot and cold lay-up of offshore rigs and specialised vessels.

● Repair and refurbishment of jack-up and semi-submersible drilling rigs.

● Repair of offshore-support vessels, anchor-handling tugs and construction vessels.

● Floating repair barges and mobile marine workshops.

● Underwater inspection, hull cleaning, diving and repair services.

● Heavy steel fabrication and offshore-module construction.

● Manufacture and repair of subsea structures, pipework, skids and pressure equipment.

● Conversion and life-extension work for tankers, floating storage units and FPSOs.

● Fabrication of accommodation modules, process modules and utility packages.

● Heavy-lift operations and project-cargo handling.

● Equipment storage, logistics bases and supply services for offshore projects.

● Future naval and coastguard maintenance facilities, subject to national policy.

5. Phased Development Programme

Phase 1: Immediate to Two Years

● Legally reserve the Mud Cove and Clappenburg sites.

● Survey and clearly define the land and waterfront boundaries.

● Prepare bathymetric, geotechnical, environmental and infrastructure studies.

● Establish regulated ship and rig lay-up anchorages.

● Introduce one-stop approval procedures through SLPA.

● Invite private operators for:

● Floating repair services.

● Diving and underwater inspection.

● Mobile workshops.

● Offshore-vessel repairs.

● Marine fabrication.

● Boatbuilding and boat repair.

● Provide basic road access, electricity, water, security and waste-reception facilities.

Phase 2: Three to Five Years

● Install a boat lift or shiplift at Mud Cove.

● Establish fabrication sheds, workshops and hardstand areas.

● Introduce a floating dock or medium-sized repair dock.

● Develop dedicated rig-repair berths and heavy-load quays.

● Establish offshore-module and structural-fabrication facilities.

● Create bonded stores and marine-equipment supply centres.

● Establish a technical training centre linked to TVEC, NAITA, universities and industry.

Phase 3: Five to Ten Years

● Develop a fully integrated offshore construction and repair yard.

● Undertake major rig refurbishment and vessel-conversion projects.

● Develop FPSO-module fabrication and integration capability.

● Manufacture subsea structures and offshore renewable-energy components.

● Establish large-vessel repair and naval-maintenance capability.

● Consider a large dry dock when sufficient demand and private investment have been secured.

6. Investment Promotion

Potential investors and operating partners should be sought from:

● India.

● the United Arab Emirates.

● Qatar and Oman.

● Singapore.

● South Korea.

● Japan.

● China.

● European offshore and marine-engineering centres.

Priority should be given to:

● Established ship-repair and offshore-engineering companies.

● Floating-dock and shiplift operators.

● Ship-management companies.

● Offshore logistics companies.

● Marine-equipment manufacturers.

● Diving and subsea-service companies.

● Sri Lankan companies capable of joining foreign investors as local partners.

7. Recommended Commercial Model

● SLPA should retain ownership of the land and waterfront.

● Facilities should be offered under properly structured long-term leases or concessions.

● Private investors should finance, construct and operate the individual facilities.

● Lease conditions should include:

● Minimum capital investment.

● A defined development schedule.

● Employment and training commitments.

● Environmental and safety requirements.

● Performance milestones.

● Provisions allowing SLPA to recover undeveloped land.

● The two zones should accommodate multiple operators rather than granting the entire area to a single company.

8. Government and SLPA Responsibilities

● Form an inter-agency task force led by SLPA.

● Include the Board of Investment, Ministry of Industries, Export Development Board, CEA, Customs, Navy, Coast Guard, TVEC and relevant provincial authorities.

● Prepare a master plan covering both Mud Cove and Clappenburg.

● Complete the required environmental assessment before major construction.

● Establish clear procedures for customs, immigration, crew changes and temporary importation of marine equipment.

● Provide competitive port charges for vessels and rigs using Trincomalee for lay-up or repair.

● Create a one-stop investment and approval desk.

● Promote the project internationally as the Trincomalee Indian Ocean Offshore and Marine Services Hub.

9. Environmental and Safety Requirements

● All operators must comply with recognised marine, occupational-safety and pollution-control standards.

● The master plan should provide facilities for:

● Oily-water reception.

● Hazardous-waste handling.

● Sewage and solid-waste management.

● Spill prevention and emergency response.

● Firefighting and rescue services.

● Monitoring of air, water and noise pollution.

● Shipbreaking or environmentally hazardous activities should not be permitted without a separate national policy, specialised facilities and strict regulation.

10. National Benefits

The project would:

● Attract foreign direct investment.

● Generate foreign-exchange earnings.

● Create skilled employment in the Eastern Province.

● Provide opportunities for welders, fabricators, engineers, divers, electricians, mechanics and technicians.

● Support local small and medium-sized enterprises.

● Develop Sri Lanka’s marine-equipment supply chain.

● Reduce the need to send Sri Lankan vessels abroad for repairs.

● Support naval, coastguard, fishing and commercial-vessel maintenance.

● Position Sri Lanka within the regional offshore oil, gas and renewable-energy supply chain.

● Contribute to the national Blue Economy programme.

11. Immediate Decisions Requested

SLPA is requested to:

1. Grant in-principle approval to reserve Mud Cove for boatbuilding and marine services.

2. Grant in-principle approval to reserve Clappenburg for offshore engineering, rig services, ship repair and lay-up activities.

3. Appoint a technical committee to define the required land and water areas within three months.

4. Commission a preliminary master plan and environmental scoping study.

5. Invite expressions of interest from qualified Sri Lankan and international investors.

6. Introduce a regulated lay-up and marine-services scheme as the first revenue-generating stage.

7. Present the project at international maritime, offshore-energy and investment forums.

Conclusion

Sri Lanka should not initially attempt to construct a costly, full-scale shipyard at Trincomalee. The practical approach is to begin with boatbuilding, lay-up, mobile repair, diving, marine fabrication and offshore-support services and expand according to confirmed demand.

My original proposal may have been 10–15 years ahead of national policy thinking, but its strategic basis remains valid. By reserving Mud Cove and Clappenburg now, SLPA can prevent the loss of these valuable waterfront areas and create the foundation for Trincomalee to become a competitive offshore and marine-industry hub in the Indian Ocean.

Dr. Sarath Obeysekera
Former CEO, Colombo Dockyard PLC
Former Chairman, Sri Lanka Land Reclamation and Development Corporation
Chairman, Advisory Board for Marine and Offshore Industries

Regards

Dr Sarath Obeysekera