The Cabinet of Ministers has approved a new public-private partnership (PPP) to add value to the Kahatagaha graphite mine, the deepest in Sri Lanka.

The decision, presented by the Minister of Industries and Entrepreneurship Development, repeals a previous plan to restructure the state-owned Kahatagaha Graphite Lanka Limited.

Under the new framework, the government will call for expressions of interest from investors to oversee exploration, mining, processing, and value addition. The move comes after it was determined that local technology is insufficient to accurately assess the mine’s reserves.

The government will retain full ownership of the graphite, while securing the jobs of all current employees. Officials said the partnership aims to harness private sector expertise while maintaining national control over the strategically important resource.