A Marshall Islands-flagged tanker carrying about 20,000 tons of LPG has arrived at Kandla port in Kachch district of Gujarat, news agency ANI reported.
According to the report, the ship identified as the tanker “Simi” crossed the strategically important Strait of Hormuz on May 13 before arriving at the Indian port.
The arrival of the LPG shipment comes amid growing international interest in maritime traffic through the Strait of Hormuz, an important global energy transit route linking the Arabian Gulf to international shipping lanes.
In India, fuel costs for migrant workers, community kitchens, canteens, roadside dhaba stations and industrial users rose by more than 47%, as state-run oil companies hiked commercial LPG prices by 47%. $993 per 19 kg refill and $261.50 per 5kg drum about 2 weeks ago.
Even Prime Minister Narendra Modi referred to the energy crisis and asked citizens to use fuel wisely, after the US-Iran conflict led to the suffocation of the Strait of Hormuz and fuel supply lines.
Liquefied Petroleum Gas Agreement between India and the United Arab Emirates
India and the UAE on Friday finalized key agreements on defense cooperation, long-term LPG supplies, strategic petroleum reserves and shipping, with Prime Minister Narendra Modi condemning the recent attacks on the UAE and vowing that India will stand “shoulder to shoulder” with the UAE.
India has criticized Iranian attacks on energy infrastructure and other facilities in the UAE amid the conflict in West Asia. Modi’s brief stop in Abu Dhabi at the start of a four-nation European tour came on a day when a BRICS foreign ministers’ meeting hosted by India was unable to reach consensus on a joint statement due to differences between Iran and the UAE.
In a meeting with UAE President Mohammed bin Zayed Al Nahyan – whom Modi referred to as “my brother” – the Prime Minister noted that the war in West Asia affects the entire world, and said India has always given priority to resolving problems through dialogue and diplomacy. He also praised the restraint, courage and vision shown by the UAE President in dealing with the situation and stressed that one of India’s top priorities is for the Strait of Hormuz to remain “free, open and safe.”
Modi said: “India is ready to provide all possible support to restore peace and stability as soon as possible.”
Ensuring India’s energy security amid the turmoil caused by conflict in West Asia was one of the main objectives of Modi’s visit to the UAE, and among the six agreements finalized by the two sides was a strategic cooperation agreement between Indian Oil Corporation Limited (IOCL) and Abu Dhabi National Oil Company (ADNOC) to explore long-term supplies of LPG, a widely used cooking fuel in India.
Another memorandum of understanding between ADNOC and the Indian Strategic Petroleum Reserves Limited (ISPRL) stipulates the possibility of storing up to 30 million barrels of Indian strategic reserves. This includes ADNOC’s participation in facilities in Vishakhapatnam and development of reserve facilities in Odisha, potential storage of crude oil in Fujairah, UAE, as part of India’s strategic reserves, and potential collaboration on LNG and LPG storage facilities in India.
