Enough refining capacity in country to meet domestic needs: Puri

Union Petroleum and Natural Gas Minister Hardeep Singh Puri said there is no shortage of crude oil in the world and enough refining capacity in the country to meet the domestic requirements.

Referring to geopolitical tensions in the Middle East, the minister said it was his personal assessment that things will calm down, noting that it is in everybody’s interest not to allow exaggeration to take place because everyone suffer.

He added that there is also no shortage of refining capacity in India.

There is enough crude available in the market, there is enough refining capacity, and we have a very good distributors network. We have a very good arrangement with them. So, there is no apprehension there,” the minister said.

“If you are asking me a question that what will happen in the Middle East, three months from now and six months from now. It is my personal assessment that things will calm down. It is in everybody’s interest not to allow exaggeration to take place because everyone suffers.

“If oil supplies get disrupted, freight rate goes up, insurance rate goes up and I am hoping that it does not happen,” he added.

Puri said new oil is coming into the market. “Brazil is getting another 4,00,000 barrels a day. The US is likely to bring more oil to the market,” he said.