1. India receives 1st parcel of Iranian oil for strategic storage

India receives 1st parcel of Iranian oil for strategic storage

India has imported the first parcel of Iranian oil to partly fill the underground strategic oil storage it has built at Mangalore.

By: | New Delhi | Updated: October 12, 2016 8:56 PM
To ensure energy security, India has built 5.33 million tons of strategic crude oil storages at Vishakhapatnam, Mangalore and Padur (Near Udupi) in Karnataka. (Reuters) To ensure energy security, India has built 5.33 million tons of strategic crude oil storages at Vishakhapatnam, Mangalore and Padur (Near Udupi) in Karnataka. (Representative Image: Reuters)

India has imported the first parcel of Iranian oil to partly fill the underground strategic oil storage it has built at Mangalore.

“Mangalore Refinery and Petrochemicals Ltd (MRPL) received the first parcel of crude oil for delivery into the Mangalore cavern of Indian Strategic Petroleum Reserves Ltd (ISPRL),” the company said in a statement.

The first parcel of 260,000 tons of Iran Mix crude was received in very large crude carrier (VLCC), MT DINO. The crude is being pumped into the underground Mangalore cavern for testing the facilities, it said.

To ensure energy security, India has built 5.33 million tons of strategic crude oil storages at Vishakhapatnam, Mangalore and Padur (Near Udupi) in Karnataka.

“These strategic storages would serve as a cushion during any external supply disruptions,” the statement said. “The strategic crude oil storage facilities are being managed by ISPRL, a special purpose vehicle.”

Vishakhapatnam facility with a capacity to store 1.33 million tons was commissioned in June last year.

“Mangalore facility with capacity of 1.5 million tons has started receiving crude today for testing the facility,” the statement said, adding the Padur facility with 2.5 million tons capacity was expected to be ready by the end of the year.

A second parcel of almost equal size is being procured by Bharat Petroleum Corp Ltd (BPCL) and is expected at Mangalore before month end.

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