Amid the volatility in the global crude prices, the government is planning to increase its capacity of oil reserves and is seeking investments from oil traders and producers.
Caves of oil: They are called strategic petroleum reserves (SPRs). India has three underground storage facilities (built at the cost of Rs 4,100 crore) that can store 5.33 million tonnes of crude oil.
Oil in caves: The one in Visakhapatnam is filled with 1.33 MMT of oil purchased by the government, another in Mangalore (with 1.50 MMT capacity) has been half-filled by the government and another half leased to Abu Dhabi National Oil Co, and the third in Padur, Karnataka, is built but awaiting oil for storage.
Dig some more: Cabinet early this year approved two more SPRs: a 4.4 million tonnes SPR at Chandikhol in Odisha and a 2.5 million tonnes facility at Padur in Karnataka. Read more