Sri Lanka, Feb. 4 -- Sri Lanka's ambition to become an oil-producing nation has faced a setback, with the planned international tender process for offshore oil and gas exploration and development delayed due to a court case initiated in the past, an official said yesterday.

The Sri Lanka Petroleum Development Authority (SLPDA) had planned to call for international bids early this month. However, the process could not be initiated because of the ongoing legal issue.

Exploration conducted in 2011 by India's Cairn India identified hydrocarbon deposits in two wells-Barracuda and Dorado-in the Mannar Basin.

The Petroleum Resources Act No. 21 of 2021 stipulates that oil and gas exploration and development must be undertaken through an intern...