India Expands Strategic Oil Reserves with New Mangaluru Facility

• New Strategic Petroleum Reserve to be built in Mangaluru, Karnataka.
• Project assigned to ONGC.
• Estimated cost is about ?15,000 crore.
• Construction cost is around ?5,000 crore.
• Crude oil filling cost is around ?10,000 crore.
• Storage capacity will be 1.75 MMT.
• Existing SPR capacity is 5.33 MMT.
• Total capacity after completion will be 7.08 MMT.
• India imports about 88% of its crude oil requirements.
• Existing SPR locations are Visakhapatnam, Mangaluru, and Padur.
• Existing reserves are managed by ISPRL.
• The facility will be developed as an underground crude oil storage cavern.

Frequently Asked Questions (FAQs)

Q1. What is a Strategic Petroleum Reserve (SPR)?

A Strategic Petroleum Reserve is an emergency stockpile of crude oil maintained to ensure supply security during disruptions.

Q2. Where will the new SPR facility be built?

The new facility will be built in Mangaluru, Karnataka.

Q3. Which company will develop the project?

Oil and Natural Gas Corporation (ONGC) has been assigned to develop the project.

Q4. What is the storage capacity of the new facility?

The facility will add 1.75 million metric tonnes (MMT) of crude oil storage capacity.

Q5. Why is the new SPR important for India?

The reserve will strengthen energy security, reduce supply risks, improve emergency preparedness, and help protect the economy from global oil market disruptions.