'The Crude Buffer': Modi Govt Approves Two More Strategic Petroleum Reserves Of 6.5 Million MT At Chandikhol And PadurA strategic oil reserve near Visakhapatnam (Indian Strategic Petroleum Reserves Limited)

Under Phase II of the petroleum reserve programme, the Modi Government has approved in July 2021 for establishing two additional commercial-cum-strategic facilities with a total storage capacity of 6.5 Million Metric Tonnes (MMT) underground storages at Chandikhol (4 MMT) and Padur (2.5 MMT) on Public-Private Partnership (PPP) mode.

The Request for Proposal for building these storage facilities is under finalization. An amount of Rs 210 crore was allocated in budget FY 2020-21 for land acquisition, and the same has been disbursed to Indian Strategic Petroleum Reserve Limited (ISPRL).

This information was given by the Minister of State for Petroleum and Natural Gas Rameswar Teli in a written reply in the Lok Sabha on Monday (26 July).

Under Phase I of the strategic petroleum reserves (SPR) programme, the Government of India, through its Special Purpose Vehicle, ISPRL, has established petroleum storage facilities with a total capacity of 5.33 MMT.

These strategic reserves were established at 3 locations Visakhapatnam (1.33 MMT), Mangaluru (1.5 MMT) and Padur (2.5 MMT), and all the storage facilities have been filled with crude oil.

The petroleum reserves established under Phase I are strategic, and the crude oil stored in these reserves will be used during an oil shortage event, as and when declared so by the Government of India.

An Appeal...

Dear Reader,

As you are no doubt aware, Swarajya is a media product that is directly dependent on support from its readers in the form of subscriptions. We do not have the muscle and backing of a large media conglomerate nor are we playing for the large advertisement sweep-stake.

Our business model is you and your subscription. And in challenging times like these, we need your support now more than ever.

We deliver over 10 - 15 high quality articles with expert insights and views. From 7AM in the morning to 10PM late night we operate to ensure you, the reader, get to see what is just right.

Becoming a Patron or a subscriber for as little as Rs 1200/year is the best way you can support our efforts.

Become A Patron
Become A Subscriber
Advertisement