India to build strategic oil storages at Vizag
New Delhi: The Cabinet Committee on Economic Affairs (CCEA) on Thursday approved the enhancement of cavern capacity, manner of utilization and revised cost estimates of Strategic Crude Oil Storage cavern at Visakhapatnam.
The Cabinet also approved enhancement of the cavern capacity at Visakhapatnam from 1.0 Million Metric Tonne (MMT) to 1.33 MMT, sharing of 0.30 MMT additional capacity by Hindustan Petroleum Corporation Limited (HPCL) on proportional cost sharing basis and the revision of cost estimates from Rs 671.83 crore for 1.0 MMT to Rs. 1038 crore for 1.33 MMT.
The enhanced storage capacity at Visakhapatnam will enable larger strategic storage of crude oil at a lower cost due to cost sharing while providing operating flexibility and cost savings to HPCL. (ANI)