Sri Lanka has indicated that it will seek a waiver on oil imports from Iran in the face of the tightening US sanctions.
The matter has been widely discussed when a high-level delegation, led by Prime Minister Ranil Wickremesinghe, met the leaders of the Indian government over the weekend.
During the delegation-level talks, the Sri Lankan government has officially sought advice from India over its strategy on purchasing oil from Iran in the light of the recently-announced US sanctions.
Petroleum Minister Arjuna Ranatunga, a member of the Sri Lankan delegation, has sought information on how India will act in the case of tighter sanctions from Indian External Affairs Minister Sushma Swaraj.
US President Donald Trump has issued a strong warning to anyone trading with Iran, following his re-imposition of sanctions on the country.
The US President tweeted, “Anyone doing business with Iran will NOT be doing business with the United States.”
Sri Lanka has a single, 50,000 bpd oil refinery in Sapugaskanda, built by Iran in 1969 to refine Iranian light crude.
Iran has also agreed to build a new oil refinery for Sri Lanka in addition to upgrading the ageing Sapugaskanda refinery.