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India Seeks Bids for Development of First Commercial Strategic Crude Store

OIL

India is seeking bids from developers for the construction of the country’s first commercial strategic crude storage, said Ajay Dashore, deputy CEO of Indian Strategic Petroleum Reserves Ltd according to Bloomberg.

  • The underground storage at Padur with capacity of 2.5m tons will cost 55bn rupees ($659 million), he said
  • The closing date for the bidding process has not yet been decided but overseas majors such as Saudi Aramco and ADNOC are likely to place bids.
  • The builder can lease the reserve for 60 years for commercial use, but the government will reserve the right to use the stores in case of emergency, he added.

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