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India gets first crude oil cargo from US in 42 years

MT New Prosperity, a very large crude carrier, of capacity 2 million barrels of crude, that left US Gulf Coast on August 19, arrived Monday

Nirmalya Behera & Shine Jacob  |  Bhubaneswar/ New Delhi 

India receives first shipment of US crude oil after 42 years

got its first shipment of crude oil from America in 42 years on Monday, at in Odisha. 

This follows the recent commitment on oil purchases by (IOC) and (BPC).  Together, said IOC, they’d placed orders for over two million barrels from the US, “with the potential to boost by up to $2 billion”.  

MT New Prosperity, a very large crude carrier, of capacity two million barrels of crude, that left Gulf Coast on August 19, arrived at on Monday. IOC will process the crude at its east-coast base refineries located at Paradip, Haldia, Barauni and Bongaigaon.

IOC, which became the first Indian public sector refiner from to source crude, has placed a cumulative order 3.9 million barrels from the  

Hindustan Petroleum and BPC, India’s two other public sector refiners, have also placed orders for about one million and 2.95 million barrels, respectively, for their Vizag and Kochi refineries from the The total volume of the crude presently contracted by Indian public sector refineries is 7.85 million barrels. 

The three refiners are sourcing sweet, sour and heavy crudes for their refineries, which are equipped to handle complex mix of crude oils.

Indian companies, both public and private, have made sizeable investments in shale assets, with a total investment of approximate $5 billion. The domestic companies have also contracted for sourcing liquefied from the and the first shipment is expected to be delivered to in January 2018.

MaryKay Carlson, chargé d’affaires at the embassy in New Delhi, said: “The and are elevating our cooperation in the field of energy, including plans for cleaner fossil fuels, renewables, nuclear and cutting-edge storage and energy-efficiency technologies.  We look forward to working together on further of crude and exploring opportunities to expand the role of in

The shipment was met by Consul General to Hyderabad, Katherine Hadda; Joint Secretary for International Cooperation from the Ministry for  Petroleum and Natural Gas, Sunjay Sudhir; and Joint Secretary, Americas Division, from the Ministry of External Affairs, Munu Mahawar.

and security are pillars of any strong economy.  The looks forward to expanding our cooperation with in this area. In my consular district of Odisha, Andhra Pradesh, and Telangana, our partnerships with various stakeholders on clean projects will continue to strengthen,” stated Consul General Hadda.

During their June 26 meeting in Washington, President and Prime Minister had committed to expanding and elevating bilateral cooperation through a strategic partnership. The leaders called for a rational approach that balances and climate policy, global economic development, and security needs. Trump affirmed that the continues to remove barriers to development and investment in the and to exports, so that more natural gas, clean coal, and renewable resources and technologies are available to fuel India’s economic growth and inclusive development.

“The sourcing of the crude from the is, therefore, a step towards strengthening of India-bilateral relations in the hydrocarbon sector. The and are the world’s largest and third largest consumers of respectively. Rich in hydrocarbon assets, the can be a significant supplier for Indian demand,” read an official statement.

OIL’S WELL 

* MT New Prosperity, a very large crude carrier, of capacity 2 million barrels of crude, that left Gulf Coast on August 19, arrived at on Monday

* IOC will process the crude at its east-coast base refineries located at Paradip, Haldia, Barauni and Bongaigaon.

* IOC, which became the first Indian public sector refiner from to source crude, has placed a cumulative order 3.9 million barrels from the US

* Indian firms, both public and private, have made sizeable investments in shale assets, with a total investment of approximate $5 billion

First Published: Mon, October 02 2017. 15:49 IST
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