The Cabinet of Ministers has approved awarding the contract to China Petroleum Pipeline Engineering Company Limited to construct a new aviation fuel storage and transport system linking Muthurajawela and Bandaranaike International Airport (BIA).

The project, first cleared by Cabinet in July 2024, involves building a 92,000 cubic metre fuel storage tank complex at Muthurajawela, a dedicated fuel transportation tunnel connecting the facility to BIA’s fuel filling terminal, and modifications to the existing terminal.

Following an international competitive bidding process, three bids were received. Based on the evaluation and recommendation of the High‑Level Procurement Committee, the Cabinet approved awarding the contract to the substantially responsive bidder at a cost of USD 40.84 million and Rs. 8,548.75 million (exclusive of taxes).

The resolution was presented by the Minister of Energy. (Newswire)

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