Beleaguered Sri Lanka In Talks For More Russian Oil, Coal, Fuel

Drivers line up to buy petrol at a fuel station in Colombo on May 16. Sri Lanka has already defaulted on external debt amid turmoil and protests over the government's mismanagement of the economy.

The politically and financially hobbled South Asian island nation of Sri Lanka has taken delivery of nearly $73 million in Russian oil to help restart Sri Lanka's only oil refinery and is pushing for closer power and energy ties, according to its energy minister.

The 90,000-ton shipment of Russian oil had been docked at a port in the capital, Colombo, for weeks as Sri Lanka tried to come up with the payment.

Sri Lankan Energy Minister Kanchana Wijesekera said the government was already in talks with Moscow on possible direct shipments of crude oil, coal, diesel, and gasoline.

"I have made an official request to the Russian ambassador for direct supplies of Russian oil," Wijesekera said.

The negotiations come despite Western sanctions against Russian financial institutions over Russia's invasion of Ukraine and potential diplomatic fallout for Colombo from such a supply deal.

Colombo has already been forced to default on some of its external debt amid turmoil and protests over the Rajapaksas' longtime hold on power and the government's mismanagement of the economy.

The crisis forced the closure in March of Sri Lanka's state-run Ceylon Petroleum Corporation refinery.

Based on reporting by Reuters