Lanka Securities Morning Note 22 June 2015

SLPA to convert Bandaranaike Quay into intl. cruise ship terminal: A fully-fledged cruise terminal is to be set up at the Colombo port to cater to the increasing number of stops made at it by cruise vessels, according to Sri Lanka Ports Authority (SLPA) Chairman Lakdas Panagoda. The SLPA plans to convert the Bandaranaike Quay (BQ) of the Colombo port into a “fully-fledged international cruise terminal”, according to Panagoda. This was one of the initiatives taken by the SLPA during the six-month tenure of the new administration, he said. Plans are also being drawn up by the Sri Lanka Ports Authority (SLPA) to construct a Central Feeder Terminal to handle the increasing volume of container operations at the Port of Colombo. Under the project the Bandaranaike Terminal of Colombo which is being used only for general cargo handling at present, is due to be developed as a fully-equipped Central Feeder Terminal. (DFT)

Lanka IOC sets 10,000 mt bunker sales target in Trinco: Lanka IOC , the Sri Lankan
subsidiary of India’s largest oil refiner Indian Oil Corporation Ltd, says it is aiming to sell 10,000 mt of MGO and 380 CST by the end of 2015, Platts reports. The company has already reportedly sold 4,000 mt of both 380 CST and MGO since its Trincomalee bunkering operations began on June 25, and is aiming to increase this to 6,000 mt during its second month of operations. Lanka IOC is said to have a capacity for 20,000 mt of 380 CST and 6,000 mt of MGO in its Trincomalee storage tanks. Lanka IOC is currently offering 380 CST product that it says it imports through a tender process from either Singapore, Fujairah or India. Both types can be set for delivery within the next one or two weeks, says Lanka IOC. (DN)