Colombo, January 13, 2026 – Sri Lanka’s Minister of Foreign Affairs, Foreign Employment and Tourism, Vijitha Herath, has announced that the long-delayed agreement with China’s state-owned energy company Sinopec for the proposed oil refinery project in Hambantota is expected to be finalised in the first quarter of 2026.

The statement was issued by the Ministry of Foreign Affairs following discussions between Minister Herath and China’s Foreign Minister Wang Yi during the latter’s visit to Sri Lanka. Both officials reaffirmed the longstanding bilateral friendship and strategic cooperation between the two countries, which spans seven decades since the establishment of diplomatic ties.

The refinery project — originally envisaged as a major foreign direct investment and reportedly valued at around US $3.7 billion — aims to build a large-capacity oil refining facility near the Hambantota International Port. If completed, it will significantly boost Sri Lanka’s energy infrastructure and could become one of the largest FDI projects in the country’s history.

In addition to the refinery talks, Herath expressed appreciation for China’s support in Sri Lanka’s post-cyclone recovery efforts and discussed expanding cooperation in trade, investment, development and tourism. Both sides also agreed to jointly celebrate the 70th anniversary of diplomatic relations in 2027.