Amber Adventures (Pvt) Ltd, the developer of the BOI-approved Ambuluwawa Cable Car Project, has warned that it may pursue legal action to recover its investment following what it describes as arbitrary obstruction by state authorities threatening the continuation of the project.

In an urgent notice addressed to the Chairman and Director General of the Board of Investment of Sri Lanka (BOI), the company said it had received a letter from the Central Environmental Authority (CEA) dated January 9, 2026, directing the suspension of project development activities pending a site inspection, citing complaints and information circulated on social media.

Amber Adventures stated that the suspension is unlawful and has placed the viability of the project at serious risk.

The company revealed that it has already invested approximately USD 3.5 million out of the approved USD 12.75 million total investment for the two-phase project. The investment was reportedly secured in 2022 at the height of Sri Lanka’s economic crisis through a consortium of investors from Sri Lanka, the United States, and China.

The project is being implemented under a Build-Operate-Transfer (BOT) model, under which the investor bears all financial, technical and project risks. According to the company, the agreement provides for a 13-year term—three years for construction and ten years for operation—after which the entire system, valued at over Rs. 5 billion, will be transferred to the Government of Sri Lanka at no cost.

Amber Adventures stressed that it has obtained approvals from multiple state institutions, including the CEA, Urban Development Authority (UDA), Cabinet of Ministers and the Ministry of Defence, and has followed BOI procedures throughout.

The company also cited ongoing interference by certain officials, referring to a previous legal dispute involving the Udapalatha Divisional Secretary. It quoted findings from the Court of Appeal in case number CA WRIT 656/2024, in which the court found that the official had acted mala fide and ordered her to personally pay costs of Rs. 100,000.

Addressing allegations circulating on social media that construction has caused landslides, the company categorically denied the claims. It said inspections carried out by the National Building Research Organisation (NBRO) following Cyclone Ditwah confirmed the stability of all three construction sites and found no evidence of landslides.

Amber Adventures warned that continued obstruction undermines investor confidence and raises serious concerns over the protection of investments in Sri Lanka. The company said it has already begun discussions with stakeholders and legal advisors on the potential termination of the project and recovery of losses.

“We reserve our rights in law to seek restitution of investment, financial losses and damages,” the company stated, while urging the BOI to intervene urgently in the national interest.