Jaya Container Terminals records strong financial performance in 2022

Driven by unprecedented demand for marine fuel and sharp rupee depreciation

Driven by unprecedented demand for marine fuel combined with sharp depreciation of the rupee, Sr Lanka Ports Authority fully owned subsidiary Jaya Container Terminals (JCT) Limited

saw a record growth in both top and bottom-lines in 2022.
In 2022, JCT recorded 275 percent Year-on-Year (YoY) jump in profits, which includes 40 percent rise as a result of the weakened rupee during the year.
JCT reported 104 percent YoY increase in revenue to Rs.608 million in 2022, mainly supported by record demand for marine gas oil (MGO) from local industries amidst fuel shortages.

“This is largely due to the fact that JCT was able to provide MGO to various segments of the private sector that required fuel for their daily operations. This included the garment industry, the tourism industry and much more. The provision of MGO to these sectors was an additional service provided by JCT that resulted in an exponential increase in revenue and profit,” the company said in a press release.
In addition, the company’s ability to transform from high sulphur fuel to low sulphur fuel as required by the International Maritime Organization (IMO) also contributed to the growth in business volumes in 2022.

In line with its ambitions to position itself as a leading bunkering hub, JCT is now in the process of enhancing its storage capacity in order to facilitate larger volumes of fuel at a lower cost.
“This will also allow JCT’s customers to distribute fuel at a lower cost, which in turn is an advantage to the Port of Colombo as it can provide competitive prices for those who require marine fuel,” the company noted.

In expanding its storage capacity, JCT added additional 3200 MT capacity tank in 2022 while further plans are underway to install even more tanks in the future.  Additionally, a brand-new fire safety system was also introduced as a safety measure.
JCT Is also currently assessing the feasibility of extending facilities for Liquid Natural Gas (LNG) at Port of Colombo.

“…there is a transition from Liquid Petroleum Gas to Liquid Natural Gas and studies are conducted to assess the feasibility of such transition in the future at the Colombo Port. These developments could lead to the storage and distribution of even larger volumes of marine fuel,” the company said. 
Since 2008, JCT’s primary business has been to store marine fuel including low sulphur fuel and MGP for seagoing vessels. The facility spans over nine acres and initially consisted of 13 fuel tanks with the capability to store a capacity of 35,000 MT of marine fuel.