Sri Lanka’s LNG strategy brings US Gas firm into focus By Bandula Sirimanna View(s): View(s):Sri Lanka is currently facing a transitional period in the energy field, using Liquefied Natural Gas (LNG) for a changeover, aiming for a target of 70 per cent of renewable-based power by the year 2030. Due to the lack of progress and new government tenders with other companies, the US-based firm, New Fortress Energy‘s (NFE’s) plan to develop an LNG terminal and supply gas appears to have been on the back-burner. The resuscitated NFE agreement, including other schemes in the energy/trade domain, represents Sri Lanka’s strategies to ‘deepen economic engagement’ with the US, covering the whole gamut from tariff talks to full-fledged trade arrangements. Moreover, a MoU was signed in August 2024 for the supply of LNG to power plants with Indian Petronet LNG. Sri Lanka has a major, ongoing plan involving since 2021 to import LNG, with NFE set to develop an offshore LNG terminal to supply power plants.

Source: Sunday Times January 04, 2026 07:01 UTC