India's Strategic Oil Reserves: How Prepared Are We for Geopolitical Crises?

India's current capacity for storing crude oil and petroleum products stands at 74 days, providing a vital buffer against geopolitical disruptions. The government has established Strategic Petroleum Reserves and is expanding its storage facilities to enhance energy security. With proven hydrocarbon reserves and a focus on diversifying import sources, India aims to maintain a steady energy supply amidst global uncertainties. Discover the details of these initiatives and their implications for the country's energy future.

By Narendra Chaudhary Mar 9, 2026, 17:20 IST

India's Crude Oil Storage Capacity Explained

New Delhi: As of now, India possesses a crude oil and petroleum product storage capacity that can sustain the nation for 74 days, providing a crucial buffer against potential disruptions stemming from geopolitical tensions, as reported to Parliament on Monday.

The Minister of State for Petroleum and Natural Gas, Suresh Gopi, informed the Rajya Sabha that the government has set up Strategic Petroleum Reserves with a total capacity of 5.33 million metric tonnes (MMT). This reserve is designed to cover approximately 9.5 days of crude oil needs during short-term supply shocks, such as those caused by geopolitical conflicts. Additionally, Oil Marketing Companies (OMCs) maintain storage facilities that can hold crude oil and petroleum products for 64.5 days, culminating in a national total of 74 days.

To enhance the capacity of these reserves, the government approved the construction of two new facilities in July 2021, which will add 6.5 MMT of storage—4 MMT in Chandikhol, Odisha, and 2.5 MMT in Padur, Karnataka—under 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 chain amid geopolitical uncertainties. Strategies include diversifying sources of crude oil imports, avoiding conflict zones, and strengthening diplomatic ties with key oil-producing nations and international organizations 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 across 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 under 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.

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%, the minister added.