Sri Lanka, India, and UAE Unveil Trincomalee Energy Hub to Boost Regional Security and Economic Growth

Sri Lanka has announced the launch of a major energy hub project in partnership with India and the United Arab Emirates in Trincomalee, marking a pivotal step for regional energy security and economic recovery. The new hub, set in the eastern port city, will feature a multi-product pipeline, advanced bunkering facilities, and the potential construction of a new refinery. The plans also include redeveloping the historic World War II-era tank farm, which is partially owned by a subsidiary of Indian Oil.

Trincomalee’s deep-water harbor and strategic location close to India make it an ideal site for energy storage, supply, and transit. The collaboration is designed not only to enhance Sri Lanka’s energy infrastructure but also to strengthen energy cooperation among the three nations. According to government officials, representatives from Sri Lanka’s Ceylon Petroleum, Indian Oil, and AD Ports will meet in late May to formulate a detailed business plan for the project, overseen by a joint project monitoring committee.

The initiative underscores efforts by India to deepen its economic and strategic ties with Sri Lanka amid growing regional competition, particularly from China, which is backing a separate refinery in Hambantota. Involving the UAE brings significant financial and technical expertise, positioning the Trincomalee hub as a critical node in South Asian energy logistics and security.