The Indian Strategic Petroleum Reserves Ltd (ISPRL) on November 12, 2018 signed a Memorandum of Understanding (MoU) with the Abu Dhabi National Oil Company (ADNOC) in Abu Dhabi to explore the possibility of storing ADNOC crude oil at ISPRL’s underground oil storage facility at Padur in Karnataka, which has a 2.5 million tonne capacity.
The agreement was signed by Abdulla Salem Al Dhaheri, Director of Marketing, Sales and Trading at ADNOC and ISPRL CEO, MD HPS Ahuja on the sidelines of the Abu Dhabi International Petroleum Exhibition and Conference (ADIPEC). Union Petroleum Minister Dharmendra Pradhan was present on the occasion along with UAE Minister of State and ADNOC Group CEO Dr. Sultan Ahmed Al Jaber.
1. Under the agreement, ADNOC is expected to store crude in compartments at Padur.
2. The MoU follows the arrival of the final shipment of the initial delivery on November 4 of ADNOC crude to be stored in another ISPRL underground facility at Mangalore, also in Karnataka, which will store 5.86 million barrels of ADNOC crude oil.
3. ISPRL is an Indian government-owned company mandated to store crude oil for emergency needs.
4. ADNOC is the only foreign oil and gas company, so far, to invest by way of crude oil in India’s strategic petroleum reserves program.