Official sources indicate that the Ministry of Industry and the Ministry of Environment have not yet agreed on whether to permit Iluka Lanka Exploration (Pvt) Ltd to proceed with its activities.

Concurrently, Lanka Mineral Sand Ltd has asserted its capability to manage the mining operations if provided with the necessary resources and permissions.

Amidst this confusion, the Sri Lanka Cement Corporation (SLCC) entered into a controversial 30-year agreement with Asha Minerals Ltd on April 10, 2023.

This agreement, executed without due process, bypassed several protocols. At the time, Asha Minerals Ltd had a share capital of merely Rs 1,000, entirely owned by a single individual, lacked mineral licences from the Geological Survey and Mines Bureau (GSMB), and had no prior experience in the mineral sector.

Treasury representative W.A. Walpita, the only non-political appointee on the SLCC board, opposed this agreement. Furthermore, Siam City Cement, which held leasehold rights, was unaware of this deal and lodged a complaint with the relevant authorities, as evidenced in board meeting minutes.