India’s strategic oil reserves reach 74 days capacity; 3 new storage locations added

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Oil storage tanks stand in this aerial photograph taken above Cushing, Oklahoma, U.S., on Tuesday, March 24, 2015. The fastest oil-inventory growth on record at the main U.S. hub may be about to end, easing concern that storage limits will be strained. Photographer: Daniel Acker/Bloomberg

India’s current national capacity for storage of crude oil and petroleum products has reached 74 days after the addition of three new locations at Vishakhapatnam, Mangaluru and Padur.

Indian Strategic Petroleum Reserve Limited (ISPRL), a government-owned special purpose vehicle, has established Strategic Petroleum Reserves (SPR) facilities with the total capacity of 5.33 Million Metric Tonnes (MMT) at these three locations, according to the Ministry of Petroleum & Natural Gas.

As per the consumption pattern of 2019-20, the total capacity is estimated to provide for about 9.5 days of crude oil requirement.

In addition, Oil Marketing Companies (OMCs) in the country have storage facilities for crude oil and petroleum products for 64.5 days, thus the current total national capacity for storage of crude oil and petroleum products currently is 74 days.

Taking advantage of low crude oil prices in April-May 2020, the Strategic Petroleum Reserves have been filled to full capacity, leading to notional savings of approximately Rs 5000 crore, the ministry added.

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