Sri Lanka invites KSA to set up oil refinery

Updated 24 December 2015
0

Sri Lanka invites KSA to set up oil refinery

RIYADH: Sri Lanka has invited Saudi Arabia to set up a petroleum refinery in the southern part of the island, the country’s Central Bank Gov. Arjuna Mahendran said here.
In addition to meeting the needs of Sri Lanka, he said such a refinery could tap markets in neighboring countries such as India, Pakistan and Bangladesh.
Mahendran, an economist and a top banker, who was leading a high-powered delegation to the Kingdom, comprising chairmen and CEOs of commercial and state banks in Colombo, ended his Saudi visit on Wednesday.
Mahendran held talks with Saudi Arabian Monetary Agency (SAMA) Gov. Fahad bin Abdullah Al-Mubarak on Tuesday.
He said that the proposed refinery could be set up in Hambantota, some 300 miles away from Colombo. Hambantota hosts a full-fledged sea port, which could export crude and refined oil to other countries.
He said that international players such as SABIC and Saudi Aramco could easily come into this project.
Mahendran also said that Saudi construction companies could participate in infrastructure developments in the island.
“We need more schools, hospitals, houses and elders’ homes,” he said .
To help expatriates working in the Kingdom, Mahendran said he was negotiating with the SAMA governor to enable Sri Lankans’ remittances from Saudi Arabia to reach their banks at home in 60 seconds. “SAMA has responded positively to consider opening the payment gateway to enable this services in a year or two,” he added.
Speaking about Sri Lanka, he said : “A new chapter has opened under the leadership of President Maithripala Sirisena, who maintains inter-ethnic and inter-religious harmony in the country.
Two rival parties have joined together in running the government and to work for rapid development.
The unity government gives political stability and builds confidence among foreign investors, he said,
The Board of Investments has introduced a package of incentives to viable ventures, he added.
He pointed out that around 550,000 Sri Lankans working in Saudi Arabia remit some SR10 billion annually.
According to Saudi officials, Sri Lankan was ranked as the third country in terms of outward remittances to home countries.
“Although, we have a tiny population here compared to other countries, law-abiding Sri Lankans send their monies through official channels,” Mahendran said.
This is appreciated by the host as well as their country of origin, he added.
Explaining the purpose of his visit, he said the government is interested in projecting its potential and explore new areas of cooperation with the Kingdom.
“We are exporting tea for some $800 million to the Kingdom. This could be improved and there are several other areas where the two countries could benefit from viable projects,” he added.
Representatives from leading banks such as Bank of Ceylon, People’s Bank, Commercial Bank, HNB, NDB, Amanah, Seylan Bank, Sampath Bank and Deutsche Bank AG accompanied the governor.


Porsche first German carmaker to abandon diesel engines

Updated 41 min 37 sec ago
0

Porsche first German carmaker to abandon diesel engines

  • The company would concentrate on its core strength, ‘powerful petrol, hybrid and, from 2019, purely electric vehicles’
  • But Porsche promised it would keep servicing diesel models on the road now

BERLIN: Sports car maker Porsche said Sunday it would become the first German auto giant to abandon the diesel engine, reacting to parent company Volkswagen’s emissions cheating scandal and resulting urban driving bans.
“There won’t be any Porsche diesels in the future,” CEO Oliver Blume told the newspaper Bild am Sonntag.
Instead, the company would concentrate on what he called its core strength, “powerful petrol, hybrid and, from 2019, purely electric vehicles.”
The Porsche chief conceded the step was a result of the three-year-old “dieselgate” scandal at auto giant Volkswagen, the group to which the luxury sports car brand belongs.
VW in 2015 admitted to US regulators to having installed so-called “defeat devices” in 11 million cars worldwide to dupe emissions tests.
It has so far paid out more than €27 billion in fines, vehicle buybacks, recalls and legal costs and remains mired in legal woes at home and abroad.
Diesel car sales have dropped sharply as several German cities have banned them to bring down air pollution — a trend that Chancellor Angela Merkel was due to discuss with car company chiefs in Berlin later Sunday.
Stuttgart-based Porsche in February stopped taking orders for diesel models, which it had sold for nearly a decade.
Blume said Porsche had “never developed and produced diesel engines,” having used Audi motors, yet the image of the brand had suffered.
“The diesel crisis has caused us a lot of trouble,” he said, months after Germany’s Federal Transport Authority ordered the recall of nearly 60,000 Porsche SUVs in Europe.
Blume promised that the company would keep servicing diesel models on the road now.
According to the paper, Porsche also faces claims of having manipulated engines to produce a more powerful sound with a technique that was deactivated during testing.
Blume acknowledged that German regulators had found irregularities in the 8-cylinder Cayenne EU5, affecting some 13,500 units.
Merkel, Transport Minister Andreas Scheuer and heads of German auto companies were due to meet in Berlin later Sunday to discuss steps to avoid more city driving bans.
The German government hopes to see one million fully electric and hybrid vehicles on the road by 2022, up from fewer than 100,000 at the start of this year.