HPCL's Clean Fuels Project dedicated to the nation
Union Minister for Petroleum and Natural Gas S. Jaipal Reddy on Monday said the strategic underground crude storage facility being developed in the city as part of energy security would be commissioned in three to four months.
He was speaking after dedicating to the nation the Clean Fuels Project of HPCL's Visakh Refinery.
The project was commissioned at a cost of Rs. 2,200 crore to produce Bharat Stage-IV motor spirit and increase refining capacity of the refinery to 8.3 million tonnes.
Mr. Reddy, who inspected the progress of underground storage facility now in an advanced stage of construction here, said he was amazed by the 10-storeyed massive rock structure built in Visakhapatnam for evacuation of crude in the event of an exigency.
Two more underground storage facilities are being developed at Mangalore and Padur. All the three facilities will have a total storage capacity of 5.33 million tonnes. The city facility alone can store 1.33 million tonnes of crude.
The facilities would have most advanced technology with the state-of-the-art instrumentation, control and safety norms.
In the event of war or any hindrance to crude supply, the stocks from the storage facilities would be supplied for refining and supply to various destinations, he said.
He said the prices of petroleum products were totally dependent on dollar rate and international situations. “Whether it is war clouds in Iran or fluid political situation in the Arab countries, we have to keep our fingers crossed,” he said.
Mr. Reddy said in a lighter vein: “Though the situation warranted another bout of increase in prices of petroleum products, due to certain political compulsions we are not able to opt for an upward revision."
" The public sector oil companies as such have absorbed heavy losses. The private sector is not showing interest in entering this sector as it only wants to foray into a profit-centric business," Mr. Reddy said.
Union Minister of State for Human Resource Development D. Purandeswari, Ministers Botcha Satyanarayana, Ganta Srinivasa Rao, HPCL Chairman and Managing Director S. Roy Choudhury, Mayor P. Janardhana Rao, and MLAs M. Vijay Prasad and Ch. Venkata Ramaiah were present.
Underground storage facility an engineering marvel: Jaipal ‘Going getting tough for public sector oil companies'
Underground storage facility an engineering marvel: Jaipal
‘Going getting tough for public sector oil companies'