New Delhi: India plans to release around 5 million barrels of crude oil from its emergency stockpile in tandem with the United States, Japan, and other major economies to cool prices, a senior official said on Tuesday government, PTI reported.
The country stores around 38 million barrels of crude oil in underground caverns at three locations on the east and west coasts.
Of that total, around 5 million barrels will be released, from 7 to 10 days, said the official, who wished to remain anonymous.
The shares will be sold to Mangalore Refinery and Petrochemicals Ltd (MRPL) and Hindustan Petroleum Corp Ltd (HPCL) which are connected by pipeline to the strategic reserves.
“We may consider releasing more reserves later,” the official said, adding that an official announcement was expected later today.
Retail prices of gasoline and diesel in the country, which are linked to daily fluctuations in their international benchmarks, have remained stable since November 4, when the Center sharply reduced central levies on gasoline and fuel. 5-liter and 10-liter diesel, respectively.
The price of gasoline has been stable for 19 days at 103.97 per liter and diesel at 86.67 in Delhi.
Global crude prices, which have hit a record high of over $ 85 a barrel in three years on several occasions over the past month, have now fallen below $ 80 a barrel, providing some relief.
After the United States and China, India is the third-largest consumer of crude oil.
<—-ALSO READ—->
Prime Minister’s Economic Advisory Council predicts real GDP growth to hover around 7.5% in fiscal year (22-23)
