Shell may use HPCL storage facilities

Royal Dutch Shell is exploring the possibility of using Hindustan Petroleum Corporation8217;s HPCL storage facilities to kick off its marketing plans in India. Shell has approached HPCL for an arrangement to use the latter8217;s storage facilities like terminals and depots.

A senior HPCL official informed that Shell had written to the company but nothing has been confirmed up as yet. He said that Shell has not indicated details of their requirements and added that HPCL would definitely consider the proposal. However, any agreement with Shell would have to be signed after April 2004, since HPCL has infrastructure sharing agreements in place with other public sector oil companies till April 2004.

HPCL has 92 depots and 22 terminals for storing petroleum products, spread all over the country. It is also building a liquefied petroleum gas LPG underground cavern storage facility at Visakhapatnam.

Shell 8212; the world8217;s number three oil and gas group 8212; has been granted permission by the government to set up petrol pumps and also import petrol and diesel.