To ensure energy security, the Government of India had decide to set up 5.03 Million Metric Tonnes (MMT) of strategic crude oil storages at three locations namely Vishakhapatnam, Mangalore & Padur (Near Udipi), with total approximate cost of Rs. 4098.35 crores. These strategic storages would be in addition to the existing storages of crude oil and petroleum product with the oil companies and would serve as a cushion in response to external supply disruptions. This storage in managed by a company called Indian Strategic Petroleum Reserves Limited (ISPRL) which is a wholly owned subsidiary of Oil Industry Development Board (OIDB).
First cavern storage facility at Vishakhapatnam – total 1.33 MMT which permits utilization of the additional 0.3 MMT compartment by Hindustan Petroleum Corporation Ltd (HPCL, Visakh Refinery. Similarly, it has been commissioned on 05.05.2015.
This post was written by Atlantic Admin