India's Crude Oil Storage Capacity: A Strategic Overview
Current Crude Oil Storage Capacity in India
New Delhi, March 9: India has established a total storage capacity for crude oil and petroleum products that can last for 74 days, providing a safeguard against potential disruptions from geopolitical tensions, as reported to Parliament on Monday.
According to Suresh Gopi, the Minister of State for Petroleum and Natural Gas, the government has set up Strategic Petroleum Reserves with a combined capacity of 5.33 million metric tonnes (MMT). This reserve is designed to cover approximately 9.5 days of crude oil needs. Additionally, Oil Marketing Companies (OMCs) possess storage facilities that can accommodate crude oil and petroleum products for 64.5 days, culminating in a national total of 74 days of storage capacity.
To enhance the capacity of petroleum reserves, the government approved the construction of two new facilities in July 2021, which will add 6.5 MMT of storage at Chandikhol (4 MMT) in Odisha and Padur (2.5 MMT) in Karnataka through a Public Private Partnership (PPP) model. This expansion is expected to provide an additional 12 days' worth of oil reserves.
Moreover, the government is actively working to reduce the risk of supply disruptions and ensure a steady energy supply during geopolitical crises. This includes diversifying sources for crude oil imports, avoiding conflict zones, and strengthening diplomatic relations with key oil-producing nations and international bodies such as the International Energy Agency (IEA), the Organisation of the Petroleum Exporting Countries (OPEC), and the International Energy Forum (IEF).
As of April 1, 2025, India's proven hydrocarbon reserves have been confirmed through extensive exploration in its sedimentary basins. The estimated ultimate recovery (EUR) stands at 1,948.1 Million Metric Tonnes (MMT) for crude oil and 1,844.3 Billion Cubic Meters (BCM) for natural gas, according to annual estimates based on the Petroleum Resources Management System (PRMS). The recoverable reserves are noted to be 423.1 MMT for crude oil and 595.4 BCM for natural gas.
The minister also highlighted that over the past five years, India's dependence on crude oil imports has fluctuated between 85% and 88%, while the reliance on Liquefied Natural Gas (LNG) has ranged from 48% to 50%.