India Bolsters Strategic Oil Reserves With New Mangaluru Facility

The facility at Mangaluru will double as both a commercial hub and a strategic buffer. Minister of State for Petroleum and Natural Gas, Suresh Gopi, confirmed that half of the 1.75 million metric ton capacity will be dedicated to strategic reserves, with the remainder supporting ONGC’s daily operations. This move follows the recent disruptions at the Strait of Hormuz, which exposed the fragility of India’s reliance on Middle Eastern imports.

While record-high imports from Russia have recently offset immediate supply gaps, the government is prioritizing long-term energy security. India’s existing underground storage infrastructure currently holds only 39 million barrels. By financing this expansion directly, ONGC aims to provide a necessary shield against future conflict-driven supply shocks in an increasingly unpredictable global energy market.