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India Oil and Natural Gas to Build 1.75 Million Metric Tons SPR

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Indian petroleum explorer and producer Oil and Natural Gas will develop a 1.75 million metric ton strategic petroleum reserve in Mangalore, India, according to a stock exchange filing on Thursday, as the country focuses on energy security following Strait of Hormuz supply disruptions.

The board of directors approved the development of SPR and associated facilities as a project of "national importance," in line with the directive of the Ministry of Petroleum and Natural Gas.

The commercial utilization of the facilities will be discussed with the government, the filing said.

India has 5.3 mmt of underground SPR storage capacity in Mangalore, Padur, and Vishakhapatnam, according to the ministry's website.

The government also plans to increase the current capacity by 6.5 mmt, of which 4 mmt will be located in Chandikhol and 2.5 mmt in Padur.

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