Chevron’s Sri Lanka unit expects demand to recover this year

Sri Lanka’s Chevron lubricants unit said sales fell in 2009 with a downturn in local and export demand. However, it is expecting sales to recover this year with new demand expected from former war torn areas. Though revenues fell to 8.69 billion rupees (US$76.10 million) in 2009, from 8.90 billion rupees (US$77.94 million) a year ago, cost of sales fell faster to 5.59 billion rupees (US$48.95 million) from 6.77 billion rupees (US$59.29 million) allowing the firm to post profits of 1.49 billion rupees (US$13.05 million), up from 947.7 million rupees (US$8.30 million). Raw material prices were 10% lower during the first half of the year. (March 14, 2010)