The Sri Lankan government is in position to control a majority stake of Shell's local arm Shell Gas Lanka through a 63 million U.S. dollars share purchase, official source said.
The government on Wednesday signed an agreement with Shell, a global group of energy and petrochemicals companies, to buy 51 percent shares of Shell Gas Lanka and 100 percent shares of Shell Terminals.
According to a statement released by the government, Shell Gas Lanka will be renamed to Litro and managed by the Sri Lanka Insurance Corporation.
Accordingly, the parent company of Shell Gas Lanka Limited and Shell Terminal Lanka Limited will exit from liquefied petroleum gas business in Sri Lanka and the import, storage and distribution of the gas will come under the purview of the Litro Company.
