Sri Lanka allows IOC to produce lubes

State-owned Indian Oil Corporation (IOC) on May 25 secured a license to produce lubricants in Sri Lanka so as to boost its presence in the local market. This will allow IOC’s Lankan unit to produce, blend, market and export its Servo brand of products in the island. Lankan IOC, which commands nearly 13% of the country’s lubricant market, has hopes to increase its presence in the local market when its new plant goes on-stream in August, officials said. “With IOC’s support, Lankan IOC has an ambitious plan of becoming the leading lube manufacturer and marketer in Sri Lanka,” an official statement said, after an agreement was inked between IOC’s Executive Directors Amitava Chatterjee and A P Gunasekera, and Sri Lanka’s Petroleum Ministry. Indian Oil Corporation owns 75% of Lankan IOC, while Colombo Stock Exchange owns the remaining 25%. (May 28, 2007)