New Fortress Energy has signed a contract with the Government of Sri Lanka (GOSL) to build an offshore liquefied natural gas (LNG) receiving, storage and regasification terminal.
To be located near the coast of Colombo, the terminal will initially supply GOSL with approximately 1.2m gallons of LNG per day. As the new power plant enters the operational phase, the volume is expected to increase.
The transaction will provide New Fortress with the right to supply natural gas to the Kerawalapitya Power Complex, where a 310 MW power plant is operational today and an additional 700 MW of power plants are scheduled to be built  
New Fortress will also acquire a 40% stake in West Coast Power (WCP), which owns the 310MW Yugadanavi Power Plant. This power plant, which consists of General Electric turbines and is configured to run on natural gas in a combined cycle, currently has a long-term power purchase agreement that will provide electricity to the national grid, extending until 2035.
The new terminal is expected to start operations in 2023.
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