Australia's Beau Webster plays a shot during day three of the second test cricket match between Sri Lanka and Australia in Galle, Sri Lanka. (AP )

GALLE, Sri Lanka, Feb 8, (AP): Australia put on a clinical display on the third day of the second test against Sri Lanka, leaving the hosts teetering at 211-8 and holding a slender lead of just 54 runs on Saturday.

The visitors will try to wrap up the Sri Lankan innings early on the fourth morning and chase down the target to complete a 2-0 series sweep.

At 81-4, Sri Lanka seemed destined for another crushing inning defeat in three days. However, Angelo Mathews dug deep, forging a 48-run stand with Dhananjaya de Silva and a 70-run partnership with Kusal Mendis.

Mathews played a gutsy knock of 76, his first half-century of the series, offering a glimmer of hope. Sri Lanka had pinned their hopes on him to set Australia a respectable target. Still, his defiance ended just before stumps when he attempted a sweep off Nathan Lyon, only to be brilliantly caught by Beau Webster at fine leg.

Australia continued to tighten the screws, picking up two more wickets before stumps. Left-arm spinner Matthew Kuhnemann was the chief tormentor, finishing with four wickets and taking his match tally to seven. Lyon supported him well, whose three-wicket haul saw him turn the ball square on a deteriorating surface.

"Kuhnemann has been exceptional,” Lyon said. "He deserves all the praise he gets, and I hope he gets a lot of it. The way he broke his thumb three weeks ago and showed the courage to come out here and bowl. I know it’s hurting him, but he’s bowling exceptionally well.”

The 37-year-old Lyon also achieved a significant milestone, reaching 550 test wickets with the dismissal of Dinesh Chandimal after lunch. He became only the third Australian to achieve the feat, joining Shane Warne (708) and Glenn McGrath (563).

"Getting 550 test wickets is something I’m extremely proud about and to do it here at Galle, which holds a pretty special memory for me and my career,” Lyon said. "A very special moment, it’s pretty cool when you look at it. When I debuted 14 years ago I didn’t think I’d take 550 wickets. To pick up that one here is very special.”

Former captain Dimuth Karunaratne, playing his farewell test, received a standing ovation as he walked back after nicking one to wicketkeeper Alex Carey in the 13th over. Kahneman, sharing the new ball with Mitchell Starc, accounted for both Sri Lankan openers, setting the tone for Australia’s dominance.