{"id":156721,"date":"2026-06-10T15:25:08","date_gmt":"2026-06-10T22:25:08","guid":{"rendered":"https:\/\/www.lankaweb.com\/news\/items\/?p=156721"},"modified":"2026-06-10T15:25:08","modified_gmt":"2026-06-10T22:25:08","slug":"proposal-to-develop-trincomalee-harbour-as-a-construction-as-a-repair-yard-for-marine-and-offshore-industry","status":"publish","type":"post","link":"https:\/\/www.lankaweb.com\/news\/items\/2026\/06\/10\/proposal-to-develop-trincomalee-harbour-as-a-construction-as-a-repair-yard-for-marine-and-offshore-industry\/","title":{"rendered":"Proposal to develop\u00a0Trincomalee \u00a0Harbour\u00a0as a construction as a Repair Yard\u00a0for Marine\u00a0and Offshore\u00a0Industry"},"content":{"rendered":"<h2><span style=\"color: #0000ff;\"><em>Dr Sarath Obeysekera<\/em><\/span><\/h2>\n\n\n<p>General<\/p>\n\n\n\n<p>Port of Trincomalee commands a large, natural and a wide body of sheltered water in Sri Lanka.&nbsp;The&nbsp;Port of Trincomalee could be developed to play a major role in this unique economic region considering its locational advantage, deep water port facilities, large hinterland for establishing industries and &nbsp; accompanied with quick land connection to Port of Colombo, with the expansion of express way network.&nbsp;<\/p>\n\n\n\n<p>1.&nbsp;Proposed Action Plan&nbsp;<\/p>\n\n\n\n<p>The Export Development Board has initiated a consultancy service to carry out the Feasibility study on market, technical and financial aspects for creation of business opportunities for layup&nbsp;and&nbsp;to receive the possibility of attracting investors to develop certain sections of Trincomalee Port to facilitate construction and assembly of structures related to marine and offshore sectors. This includes enhancement of Port facilities and continue layup stacking and stacking of structures&nbsp;of&nbsp;oil rigs and other vessel.&nbsp;<\/p>\n\n\n\n<p>1.1.&nbsp;The Chairman\/ CEO of EDB through a letter&nbsp;Sri Lanka Ports Authority(SLPA), has&nbsp;requested&nbsp;assistance from SLPA&nbsp;to&nbsp;collaborate&nbsp;with EDB to conduct the study and provide technical support whenever necessary for the&nbsp;feasibility study of marine and offshore sector development.<\/p>\n\n\n\n<p>1.2.&nbsp;In addition to the Port related industry development in the lands of Port of Trincomalee,&nbsp;and explore the&nbsp;business opportunities&nbsp;in the field of&nbsp;&nbsp;marine&nbsp;and offshore sector&nbsp;related investment&nbsp;in&nbsp;Port of&nbsp;Trincomalee&nbsp;EDB is of the opinion that it &nbsp;can&nbsp;generate much needed foreign currency in the country and would be a great opportunity to overcome the ongoing crisis.<\/p>\n\n\n\n<p>1.3.&nbsp;Currently, the Clapenburg&nbsp;area of Trincomalee Port, year marked &nbsp;to be used for development of&nbsp;a Repair and Construction&nbsp;yard to carryout&nbsp;marine and offshore sector &nbsp;related heavy engineering work.<\/p>\n\n\n\n<p>1.4.&nbsp;the land parcel which may&nbsp;be&nbsp;require to develop marine and offshore sector facilities&nbsp;and the location for&nbsp;future&nbsp;LNG facility&nbsp;has been&nbsp;studied in the feasibility study&nbsp;has been&nbsp;done&nbsp;by SLPA .<\/p>\n\n\n\n<p>Interested investors for the&nbsp;Development of&nbsp;a yard to carry out&nbsp;Marine and Offshore&nbsp;related&nbsp;work in&nbsp;Port of Trincomalee&nbsp;may&nbsp;be selected&nbsp;using&nbsp;an EOI&nbsp;(Expression&nbsp;of&nbsp;Interest)&nbsp;followed&nbsp;by&nbsp;an&nbsp;RFP&nbsp;(Request&nbsp;for&nbsp;Proposal) process through&nbsp;open competitive bidding process on prioritybasis&nbsp;with a view to entice foreign investors with FDI.<\/p>\n\n\n\n<p>As an alternative to calling offers which may take long time &nbsp;Sri Lanka can approach Indian Government to request a G to G ( Government to Government ) investment proposal on PPP ( Private Public Partnership) basis with plans to allow local companies like&nbsp;ColomboDockyard to join,<\/p>\n\n\n\n<p>2.&nbsp;<strong>Approval<\/strong><\/p>\n\n\n\n<p>Considering the above facts,&nbsp;EDB has proposed to Sri Lanka Ports Authority&nbsp;with Ministry of Industries may &nbsp;&nbsp;seek &nbsp;&nbsp;the approval of the Cabinet of Ministers to&nbsp;<\/p>\n\n\n\n<p>1.&nbsp;<\/p>\n\n\n\n<p>2.&nbsp;<\/p>\n\n\n\n<p>2.1.&nbsp;Conduct EOI process from interested&nbsp;investors&nbsp;through open competitive bidding process&nbsp;for the&nbsp;Development of Marine and Offshore Sector in Port of Trincomalee&nbsp;followed by a&nbsp;RFP process&nbsp;once the prequalification is made&nbsp;from EOI process.<\/p>\n\n\n\n<p>2.2.&nbsp;Appoint Cabinet&nbsp;Appointed&nbsp;Negotiation Committee&nbsp;and a Project Committee including&nbsp;technically competent officials&nbsp;and&nbsp;a treasury representative&nbsp;to handle all procurement matters pertaining to the Project and to determine successful proposals and make recommendations to the Cabinet of Ministers.<\/p>\n\n\n\n<p>3 &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;<strong>Proposed&nbsp;contents&nbsp;of the Cabinet Memorandum<\/strong>\u200b<\/p>\n\n\n\n<p><strong>CABINET MEMORANDUM&nbsp;m&nbsp;DEVELOPMENT OF MARINE AND OFFSHORE INDUSTRY<\/strong><\/p>\n\n\n\n<p>1. Background<\/p>\n\n\n\n<p>Marine and Offshore is a key industry in Sri Lanka which is yet to be grown its full potential. SriLanka is blessed with several competitive advantages, compare to other regional countries who are&nbsp;reaping very lucrative benefits and strongly positioning for future opportunities.&nbsp;Sri Lanka has one of the best, safest and sheltered natural&nbsp;deep-water&nbsp;port located in Trincomalee<\/p>\n\n\n\n<p>amongst other strategic ports such as Colombo and Hambantota located&nbsp;near&nbsp;the&nbsp;world\u2019s busiest sea routes, where&nbsp;it is&nbsp;stated that nearly 200-250 vessels sail passing Sri Lanka per&nbsp;day&nbsp;from&nbsp;west to east and the country will benefit immensely if we venture into this market segment.<\/p>\n\n\n\n<p>The Marine and Offshore industry can be developed in Sri Lanka due to its strategic&nbsp;location,&nbsp;with&nbsp;available competitive&nbsp;labor&nbsp;cost, technical capabilities, shipbuilding led industrialgrowth and with the government support through industrial parks, free&nbsp;zones,&nbsp;and special economiczones. Also, the absence of a marine hub between Dubai and Singapore is a&nbsp;deserving&nbsp;factor&nbsp;for the&nbsp;development of this sector. In addition to&nbsp;Oil&nbsp;and&nbsp;Gas exploration and development activities in&nbsp;offshore India&nbsp;has drawn a large traffic of Oil&nbsp;and&nbsp;Gas&nbsp;marine assets to go pass Sri Lanka for their jobs in India&nbsp;both in and out of India.<\/p>\n\n\n\n<p>The Trincomalee Port is one of the largest natural&nbsp;deep-water&nbsp;harbors&nbsp;in the world. However, it hasnot been effectively&nbsp;utilized&nbsp;to&nbsp;its&nbsp;fullest&nbsp;capacityat present and has high potential to cater to the global Marine and Offshore<\/p>\n\n\n\n<p>industry if properly developed.&nbsp;Also,&nbsp;the other ports such as&nbsp;Hambantota, Galle, Colombo can be&nbsp;developed or expand its capacity to provide Marine and Offshore Services.<\/p>\n\n\n\n<p>By developing&nbsp;facilitates in&nbsp;the port of Trincomalee as the nucleus, the Marine&nbsp;and&nbsp;Offshore&nbsp;Engineering sector can contribute to the Sri Lanka Economy to generate high amount of foreign&nbsp;income. According&nbsp;to the available statistics from the industry and the projection for next few years,&nbsp;the country&nbsp;could earn US$ 10bby&nbsp;year 2034. By developing Offshore Construction projects, it is&nbsp;expected to generate income to Sri Lanka from&nbsp;2025 to 2030 over 10 billion US $<\/p>\n\n\n\n<p>In Sri Lanka &nbsp;there are few Sri Lankan companies who are able to provide most of the servicesrelated to Marine and Offshore Sector, particularly for all Oil Rig Layup facilities.<\/p>\n\n\n\n<p>The Term Lay-up\u201d means ships are temporarily taken out of regular operations\/service and placed on&nbsp;idle mode due to lack of business, lack of cargo, freight rates are not feasible to operate, having major&nbsp;repairs to be carried out or that the ship is arrested by law\u201d or is under sale or waited to be scrapped.&nbsp;When ships are placed on lay-up, they are either berthed inside port at quayside with safe mooring or&nbsp;tied to a Mooring\u201d at a safe anchorage location in sheltered waters. Not many ports\/locations in the&nbsp;world or in our region offers the above basic requirement to ships, however, Sri Lanka is blessed with&nbsp;the Ports of Trincomalee and&nbsp;Hambantota&nbsp;They&nbsp;Have&nbsp;successfullymanaged to intercept this market segment withthe aggressive and smart promotion\/business creation by selected private Sri Lankan companies.<\/p>\n\n\n\n<p>The Sri Lankan lay-up locations (Trincomalee, Hambantota,&nbsp;etc.) are located closer to major shipping&nbsp;routes \u2013 enables quick reactivation when business commence.&nbsp;Multiple Industries will also be benefited by developing this sector. Considering Oil Rig layup, repair&nbsp;and&nbsp;maintenance, sectors involved in&nbsp;logistic \/supplies to rigs laid up, bonded ware housing&nbsp;companiesto store parts, Ship Chandeliers, Fuel suppliers to rigs, local companies involved in renting&nbsp;equipment. are directly benefited. Among the indirect benefits&nbsp;recognized are training&nbsp;locals and foreign&nbsp;personnel through uplifting existing curriculum in higher education relating to this sector, on&nbsp;charging fees, enticing Foreign Offshore&nbsp;Design\/construction companies to utilize Port City&nbsp;facilities and&nbsp;tax benefits to establish their offices in Sri Lanka, Training Staff to get involved&nbsp;in pending&nbsp;LNG&nbsp;Industry in management.<\/p>\n\n\n\n<p>However, Marine and Offshore Industry currently faced some issues which is a huge impact for thedevelopment of the sector. Some of the&nbsp;short-termissues faced by this sector are given below. Byaddressing the below issues,&nbsp;sector can contribute more to the economy soon.<\/p>\n\n\n\n<p>1. Lack of Berthing facilities for Quayside lay-ups,&nbsp;servicing,&nbsp;and repairs of Rigs\/Offshore Assets.<\/p>\n\n\n\n<p>2. Lack of Mooring facilities for Anchorage work\/lay-ups,&nbsp;servicing,&nbsp;and repairs of Rigs\/Offshore&nbsp;Assets.<\/p>\n\n\n\n<p>3. Rig Height Restrictions imposed by Sri Lanka Air force for vessels that can enter and stay at<\/p>\n\n\n\n<p>Trincomalee Port for lay-up and other services.<\/p>\n\n\n\n<p>3. Recommendation \/ Approval<\/p>\n\n\n\n<p>In view of above, the approval of the Cabinet of Ministers is sought for the following short termpriority proposals.<\/p>\n\n\n\n<p>1. To resolve the lack of Berthing facilities for Quayside lay-ups,&nbsp;servicing,&nbsp;and repairs of<\/p>\n\n\n\n<p>Rigs\/Offshore Assets.<\/p>\n\n\n\n<p>Ashraff&nbsp;Jetty in Trincomalee has been selected as a suitable site to established berthing facility&nbsp;for large vessels and oil rigs (Capsize, max. 300 m long). Expand the Jetty to accommodate&nbsp;the berthing of large ships&nbsp;facilities to be upgraded to have good strong bollards&nbsp;and fenders.<\/p>\n\n\n\n<p>2. To resolve the lack of Mooring facilities for Anchorage work\/lay-ups,&nbsp;servicing,&nbsp;and repairs ofRigs\/Offshore Assets.<\/p>\n\n\n\n<p>To lay-up ships, a port should have ample berthing space at anchorage. Further, the anchorage&nbsp;position should be in sheltered waters protected against winds and waves. Trincomalee has&nbsp;these conditions and increase services into this business segment. Therefore, it is suggested to<\/p>\n\n\n\n<p>fix mooring buoys for the identified ship layup locations within Trincomalee bay and providenautical mooring facilities in case coal or gas fire powered project in Sampur will emerge.<\/p>\n\n\n\n<p>To resolve the Rig Height Restrictions imposed by Sri Lanka Air force for vessels that can&nbsp;enter and stay at Trincomalee Port for lay-up and other services.&nbsp;Due to China Bay Airport, Trincomalee flying path falling over the Trincomalee Port, the Sri&nbsp;Lanka Airforce has imposed restrictions to bringing ships over 45m of height. This is a bigbarrier for the growth and sustenance of the Trincomalee Port which is a natural treasure ourcountry is blessed with to earn much needed foreign exchange revenue and generate job \/<\/p>\n\n\n\n<p>business opportunities. The Sri Lanka Airforce conducts training school\/flights and they&nbsp;consider the vessel height over 45m is a risk for their training flights. Sought out this issue with&nbsp;the Ministry of Defense and Sri Lanka Airforce.<\/p>\n\n\n\n<p>investments to development Marine &amp;amp; Offshore industry in Sri Lanka under the leadership of<\/p>\n\n\n\n<p>Sri Lanka Ports Authority&nbsp;can provide&nbsp;Night time navigation&nbsp;during the operations\/<\/p>\n\n\n\n<p>For night time navigation the ports need lights,&nbsp;buoys,&nbsp;and lighthouses to<\/p>\n\n\n\n<p>ensure safety&nbsp;and maintenance can be outsourced to private parties. SLPA&nbsp;will beremunerated for these costs by increased traffic to the port for which it&nbsp;will receive port dues.<\/p>\n\n\n\n<p>New deep-water oil jetty or CBM\/SPM to&nbsp;be installed&nbsp;can&nbsp;accommodate&nbsp;larger mainline vessels up&nbsp;to 80,000 DWT with a maximum draught of 13.0 m.<\/p>\n\n\n\n<p>New 350 m long jetty&nbsp;may be built&nbsp;with a draught of 12.0 m for&nbsp;an&nbsp;LNG floating storage hub atClappenburg Island.<\/p>\n\n\n\n<p>Long term: marina and dedicated cruise berth in front of the city; 360 m long berth&nbsp;dredged at CD -11.0 m to allow for the largest cruise vessels with a maximum draft&nbsp;of 10 m currently in service.<\/p>\n\n\n\n<p>The proposed high income generating projects are as follows<\/p>\n\n\n\n<p>Invite Mega players from worldwide (i,e. Chinese, Singaporean<\/p>\n\n\n\n<p>Keppel\/Sembawang, South Korea Hyundai \/Samsung) to invest jointly with Sri&nbsp;Lanka and initiate a plan to develop the Trincomalee harbour as an Offshore&nbsp;Construction center focusing on Ship \/Tanker conversion \/&nbsp;modification to&nbsp;FPSO(Floating Production storage and Offload) units.<\/p>\n\n\n\n<p>Development of Trinco Tank farm as storage \/slop reception&nbsp;facility for Super&nbsp;Tankers with&nbsp;future&nbsp;for a super-size graving dock&nbsp;<\/p>\n\n\n\n<p>Initiate development of Offshore Wind Farm Construction&nbsp;can be&nbsp;initiated&nbsp;Promotion&nbsp;of&nbsp;PortCity&nbsp;can&nbsp;be&nbsp;done&nbsp;as&nbsp;the center of excellence in establishing&nbsp;design&nbsp;and&nbsp;digital&nbsp;outsourcing activities&nbsp;and &nbsp;&nbsp;invite&nbsp;local companies to development of Warehousing&nbsp;in Trincomalee. Colombo&nbsp;Corridor for Bonded warehouses<\/p>\n\n\n\n<p>Establishment of&nbsp;an&nbsp;LNG power plant in Trinco to provide power to future Shipyard&nbsp;can also be considered&nbsp;<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>The problem I am facing is that nobody wants to take my advise\u00a0<\/strong><\/li>\n<\/ul>\n\n\n\n<p>Regards<br><br>Dr Sarath Obeysekera<\/p>\n\n\n\n<p><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Dr Sarath Obeysekera General Port of Trincomalee commands a large, natural and a wide body of sheltered water in Sri Lanka.&nbsp;The&nbsp;Port of Trincomalee could be developed to play a major role in this unique economic region considering its locational advantage, deep water port facilities, large hinterland for establishing industries and &nbsp; accompanied with quick land [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[116],"tags":[],"class_list":["post-156721","post","type-post","status-publish","format-standard","hentry","category-dr-sarath-obeysekera"],"_links":{"self":[{"href":"https:\/\/www.lankaweb.com\/news\/items\/wp-json\/wp\/v2\/posts\/156721","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.lankaweb.com\/news\/items\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.lankaweb.com\/news\/items\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.lankaweb.com\/news\/items\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.lankaweb.com\/news\/items\/wp-json\/wp\/v2\/comments?post=156721"}],"version-history":[{"count":1,"href":"https:\/\/www.lankaweb.com\/news\/items\/wp-json\/wp\/v2\/posts\/156721\/revisions"}],"predecessor-version":[{"id":156722,"href":"https:\/\/www.lankaweb.com\/news\/items\/wp-json\/wp\/v2\/posts\/156721\/revisions\/156722"}],"wp:attachment":[{"href":"https:\/\/www.lankaweb.com\/news\/items\/wp-json\/wp\/v2\/media?parent=156721"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.lankaweb.com\/news\/items\/wp-json\/wp\/v2\/categories?post=156721"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.lankaweb.com\/news\/items\/wp-json\/wp\/v2\/tags?post=156721"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}