ProMASS News Bureau: Feb 11, 2016:
The UAE’s national oil company Abu Dhabi National Oil (ADNOC) Company has agreed to store crude oil in India’s maiden strategic storage and give two-third of the oil to it for free. India is building underground storage at Visakhapatnam , Mangalore and Padur to store about 5.33 million tonnes of crude oil to guard against global price shocks and supply disruptions.
Oil Minister Dharmendra Pradhan said yesterday that ADNOC is keen on taking half of the 1.5 million tonnes Mangalore facility. The 1.33 million tonnes Visakhapatnam storage and 2.5 million tonnes Padur stockpile together with 1.5 million tonnes Mangalore storage will be enough to meet nation’s oil requirement of about 10 days.
After talks with visiting UAE Minister for Energy Suhail Mohammed Al Mazrouei, Mr. Pradhan said tax issue remains to be sorted out before ADNOC can begin storing oil at Mangalore. He emphasized that there is a lot of untapped potential in hydrocarbon sector and expressed confidence that bilateral linkages will grow between the two countries in the coming years. Mr. Pradhan informed the UAE that Indian Public Sector oil companies are interested in participating in the producing assets and prospective exploration rounds in that country.
