Oil and Petroleum Minister Dharmendra Pradhan said that the United Arab Emirates (UAE) has decided to store six million barrels of oil in strategic storage for the very first time, thereby ensuring a strategic partnership between the two countries.
Speaking to ANI, Pradhan said, "Our strategic partnership has become stronger with this initiative. We generally import oil from the UAE, but this is the first time the UAE has decided to store six million barrels of oil in strategic storage. Such an engagement is taking our relations to a new height. The consignment ship will leave tomorrow and will reach India by May 18."
Further stressing on the agreement, he added, "This is a seven-year agreement. It is in the interest of both the nations. UAE will make a presence in the Indian markets and the oil will be stored safely in our country."
Pradhan along with Abu Dhabi National Oil Company (ADNOC) Director-General and Chief Executive Officer (CEO) Dr. Sultan Ahmed Al Jaber flagged off the first consignment of ADNOC crude oil for SPR facility of Indian Strategic Petroleum Reserves Ltd (ISPRL) at the ADNOC headquarters Panorama Digital Command Centre in Abu Dhabi.
ISPRL has constructed Strategic Petroleum Reserves (SPR) at Mangalore consisting of two "U" shaped compartments with a total storage capacity of 1.5 MMT. One compartment has already been filled with crude oil through funds made available by the Government of India while the other compartment will be filled by crude supplied by ADNOC.
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)