India's ₹14,527 Cr Strategic Oil Reserve Plan Readies PPP Pipeline

Private partners will fund the remaining 40%, or about ₹5,810 crore. That figure alone signals a substantial pipeline of engineering and construction work. Engineers India and Larsen & Toubro, which built the Phase-1 underground rock caverns, are positioned to bid on Phase-2 contracts. The PPP structure also opens the door for oil marketing companies and third-party operators to lease or manage the storage, potentially reshaping how India manages its crude inventory.

The country imports around 85% of its crude needs. Combined Phase-1 and Phase-2 storage would cover roughly 9-10 days of consumption at current rates. The government sees additional sites as necessary – Gopi said assessment of new locations is a continuous process.