This deal has taken place without the knowledge of the president, but reportedly with the consent of the prime minister.

In 2003, there was speculation the facility had been given to Lanka Indian Oil Company on a 35-year lease.

No agreement has been signed, but Lanka IOC makes use of 14 oil tanks there, without paying any lease money to the state.

Moragoda is said to be behind this deal too.

He had interfered in making the decision, although it had not been a subject under him, when he was the science and technology minister.

During his visit to Sri Lanka, Indian premier Narendra Modi raised the Trincomalee oil storages matter.

Agreement has been reached to develop the 85 oil tanks, other than the 14 given to Lanka IOC, for which a joint task force has been appointed.

This task force has 10 members, comprising six Sri Lankans and four foreigners, and the power ministry secretary is its chairman.