Sri Lanka is preparing to secure an oil supply agreement with Russia as the country seeks solutions amid global energy disruptions. Officials say the deal is expected to be finalized next week.

Discussions began after Sri Lanka’s Minister of Foreign Affairs, Vijitha Herath, met with Russian Ambassador Levan S. Dzhagaryan to explore options for purchasing Russian fuel. The Russian Embassy in Colombo subsequently sent Sri Lanka’s request to Moscow for consideration.

Ceylon Petroleum Corporation (CPC) Chairman D.J. Rajakaruna said the talks are ongoing and indicated that the country plans to purchase both crude oil and refined products sufficient for three months. “We hope to reach a final decision next week,” he said.

Russia has shifted most of its oil exports away from the US dollar, now demanding payments primarily in Russian Roubles or Chinese Yuan. How Sri Lanka will navigate this requirement is expected to be clarified in the coming week.

Previously, US sanctions had prevented Sri Lanka from buying Russian oil. However, the US has recently eased restrictions to allow other countries to purchase Russian oil already on vessels at sea, a move aimed at stabilizing global energy markets following the US-Israel strikes on Iran.

According to the Centre for Research on Energy and Clean Air (CREA), Russia earned an extra €672 million ($777 million) in oil sales during the first two weeks of the Iran conflict, which began on February 28.