Updated By: LatestGKGS Desk
India Gets its first shipment crude oil cargo of 1.6 million barrels from US
India Gets its first shipment crude oil cargo of 1.6 million barrels from the US at the Paradip Port (Odisha)
India has received its first shipment crude oil cargo of 1.6 million barrels from America at the Paradip Port (Odisha) on 2nd of October 2017.
India Oil Corp (IOC) will process the crude at IOC’s East-Coast based refineries, located at Pradip, Haldia, Barauni and Bongaigaon.
Prime Minister Narender Modi and US President Donald Trump had agreed to strengthen Indo-US hydrocarbon ties in their meeting held in June 2017.
This development growing closeness between India and US under Narendra Modi and will strengthen ties between the two nations.
It will help India diversify its source of crude along with providing some advantage while negotiating with the west Asian countries for hydrocarbons.
Indian companies have also contacted 9 MMTPA of LNG from the US and the first shipment is expected to be delivered to India in January 2018.
India Oil which becomes the first Indian public sector refiner from India to source US crude has placed a cumulative order 3.9 million barrel from the US.
Bharat Petroleum and Hindustan Petroleum, India’s two other public sector refiners have also placed orders for about 2.95 million barrels and 1 million barrel respectively for their Kochi and Vizag refineries from the US.
The total Volume of the crude presently contracted by India 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 of crude oils.
India companies, both public and private have made sizeable investments in US shale assets with a total investment of approximately $5 billion.
