India Has 60-Day Fuel Buffer; Secures 800,000 MT LPG From US and Russia to Boost Supply

The Indian government on Thursday moved to dismiss reports of an energy shortfall, confirming that the country holds a 60-day crude oil supply cover and has secured massive shipments of liquefied petroleum gas (LPG) from global partners to stabilize domestic markets.

The Ministry of Petroleum and Natural Gas (MoPNG) clarified that India’s total stocking capacity stands at 74 days, with approximately 60 days of actual stock currently available. This buffer includes crude oil, refined products, and dedicated strategic underground storage.

Global Sourcing and LPG Security

To counter disruptions in the Middle East caused by the ongoing conflict, India has secured 800,000 metric tonnes (MT) of LPG cargoes from the United States, Russia, and Australia. These shipments are part of a strategic diversification to reduce reliance on the Strait of Hormuz, where maritime traffic has been severely restricted.

"Nearly two months of steady supply is available for every Indian citizen regardless of what happens globally," the ministry stated, adding that Indian oil companies have already tied up crude supplies for the next 60 days.

Data shows a dramatic shift in India's energy procurement. Indian refiners have contracted approximately 60 million barrels of Russian oil for April delivery—more than double the volume recorded in February. This surge follows a temporary U.S. Treasury waiver allowing the delivery of Russian crude that was already at sea or loaded before mid-March.

Every Indian refinery is currently operating at over 100% utilization to ensure there is no gap in the availability of petrol, diesel, or cooking gas. The ministry dismissed rumors of fuel rationing as "deliberate misinformation" aimed at triggering panic buying.

Strengthening Domestic Reserves

Union Petroleum Minister Hardeep Singh Puri recently emphasized that energy security remains a top priority. In addition to seaborne imports, the government is accelerating the Strategic Petroleum Reserve (SPR) project in Odisha to add another 4 million metric tonnes of capacity, providing a permanent shield against future geopolitical shocks.

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