ONGC is set to reserve half of its planned new oil storage facility at Mangaluru for India’s strategic reserves, according to statements reported by multiple outlets. Business Line and The Hindu say the plan involves dedicating 50% of the new storage capacity toward strategic reserves to strengthen India’s emergency crude and petroleum stockpiles. The proposal also adds new storage capacity as part of broader long-term energy security planning and is described as involving public-private participation for the expansion.
The Hindu further reports that Petroleum Minister of State Suresh Gopi tells parliament that India’s existing crude oil and petroleum product storage can meet about 74 days of the country’s net crude import requirements. This indicates the current level of coverage before the additional Mangaluru capacity comes online.
Investing.com frames the same decision as ONGC reserving half of the new oil storage for strategic needs. Across the reports, the common points are the location (Mangaluru), the allocation share (half reserved for strategic reserves), and the stated objective of reinforcing India’s strategic petroleum stock capacity.
