India has given an initial agreement to lease a portion of the Karnataka Underground Strategic Oil Storage to the Abu Dhabi National Oil Company (ADNOC) of UAE; Petroleum Minister Dharmendra Pradhan said that this is the second such kind with the UAE Company this year. The deal is permissible to allow foreign companies to deposit oil in Padur, to save India Rs 10 thousand crores according to this agreement.
El to Adianosi will be sold to local refiners companies but the first possession of the oil in an emergency situation will the Government of India Using underground storage, foreign companies will help the government reduce the cost of oiling in the oil store. After the Cabinet meeting on November 8, Law and IT Minister Ravi Shankar Prasad had said that allowing foreign companies to deposit oil in the Padur would save the government Rs 10 thousand crores.
Oil will be deposited in these states of India.
Karnataka
Andra Pradesh
Mangalore
India has prepared underground wells in Mangalore and Karnataka and Padur in Andhra Pradesh, in which 53.33 lakh tonnes of oil can be deposited for the Emergency. With so much oil, India's 9.5 days of oil requirement can be met.
