Udupi to host India’s first private strategic oil reserve; ₹5,700-crore project in Padur

News Network
September 17, 2025

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Udupi: The coastal district is set to make history as Padur in Udupi will soon house India’s first private strategic petroleum reserve (SPR). Hyderabad-based Megha Engineering & Infrastructures Ltd (MEIL) has won the government bid to design, build, and operate the massive underground oil storage facility with a capacity of 2.5 million metric tonnes (MMT).

The project, estimated at ₹5,700 crore, will be developed on a 214-acre site in Padur, where a government-run SPR of equal size already exists. Once operational, the reserve will be capable of storing enough crude oil to help strengthen India’s energy security and reduce its dependence on volatile global markets.

How the Project Was Awarded

The Indian Strategic Petroleum Reserves Ltd (ISPRL), a government-owned body, floated the tender in December 2024. Megha Engineering reportedly outbid two competitors by seeking viability gap funding (VGF) slightly below the ceiling of ₹3,420 crore (60% of the project cost).

The winning bidder will not only construct the underground cavern but also finance, develop, operate, and manage the facility under a long-term concession agreement. ISPRL is expected to sign the deal soon and formally hand over the land for construction.

A Boost to India’s Oil Security

At present, India’s total strategic oil storage stands at 5.33 MMT, spread across Visakhapatnam (1.33 MMT), Mangalore (1.5 MMT), and Padur (2.5 MMT). These facilities together provide just 8–9 days of crude import cover—far less than the reserves held by the United States (727 million barrels) and China (1,200 million barrels).

The new Padur project will add significantly to India’s capacity, bringing the total closer to meeting long-term targets. Once complete, the facility will be operated by Megha Engineering for 60 years.

Dual Role: Business and National Safeguard

Under the terms of the agreement, Megha Engineering will be able to lease storage capacity to oil companies or the government and also trade crude oil stored in the reserve. While leasing offers steady revenue, trading carries greater financial risk.

However, the government will retain first rights over the stored oil during emergencies, ensuring the facility doubles as both a commercial asset and a national safeguard.

The project also includes construction of pipeline and port-linked infrastructure to enable crude loading and unloading. Filling the reserve with crude oil is expected to cost around ₹11,020 crore ($1.25 billion) at current global prices.

A Long-Term Vision

The Union Cabinet had approved private participation in SPRs back in 2018, paving the way for the Padur project in Udupi and another planned reserve at Chandikhol in Odisha.

With a five-year timeline, the Udupi facility is poised to play a key role in India’s energy resilience strategy, placing the coastal Karnataka district at the center of a critical national security project.

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News Network
December 4,2025

Mangaluru: Chaos erupted at Mangaluru International Airport (MIA) after IndiGo flight 6E 5150, bound for Mumbai, was repeatedly delayed and ultimately cancelled, leaving around 100 passengers stranded overnight. The incident highlights the ongoing country-wide operational disruptions affecting the airline, largely due to the implementation of new Flight Duty Time Limitations (FDTL) norms for crew.

The flight was initially scheduled for 9:25 PM on Tuesday but was first postponed to 11:40 PM, then midnight, before being cancelled around 3:00 AM. Passengers expressed frustration over last-minute communication and the lack of clarity, with elderly and ailing travellers particularly affected. “Though the airline arranged food, there was no proper communication, leaving us confused,” said one family member.

An IndiGo executive at MIA cited the FDTL rules, designed to prevent pilot fatigue by limiting crew working hours, as the cause of the cancellation. While alternative arrangements, including hotel stays, were offered, about 100 passengers chose to remain at the airport, creating tension. A replacement flight was arranged but also faced delays due to the same constraints, finally departing for Mumbai around 1:45 PM on Wednesday. Passengers either flew, requested refunds, or postponed their travel.

The Mangaluru delay is part of a broader crisis for IndiGo. The airline has been forced to make “calibrated schedule adjustments”—a euphemism for widespread cancellations and delays—after stricter FDTL norms came into effect on November 1.

While an IndiGo spokesperson acknowledged unavoidable flight disruptions due to technology issues, operational requirements, and the updated crew rostering rules, the DGCA has intervened, summoning senior airline officials to explain the chaos and outline corrective measures.

The ripple effect has been felt across the country, with major hubs like Bengaluru and Mumbai reporting numerous cancellations. The Mangaluru incident underscores the systemic operational strain currently confronting India’s largest carrier, leaving passengers nationwide grappling with uncertainty and delays.

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News Network
November 21,2025

Bantwal: A domestic dispute appears to have led to a violent confrontation in BC Road area, where the owner of a textile shop was allegedly attacked with a knife by his wife on Wednesday evening.

Krishna Kumar Somayaji, the owner of Somayaji Textiles, sustained serious injuries in the incident and was immediately taken to a hospital for treatment. He is currently receiving care in the intensive care unit and is reported to have survived the assault, according to police.

The Bantwal Town police have registered a case against Somayaji's wife, Jyothi KT, who has since been taken into custody.

Police stated that the complainant, Namita, an employee at the shop, reported the sequence of events. She stated that around 7 p.m. on Wednesday, the suspect entered the shop, wearing a burqa and disguised as a customer, before attacking Somayaji with a knife. The employee then transported the injured owner to a local hospital via an autorickshaw.

Superintendent of Police Arun K confirmed that an ongoing domestic dispute between Somayaji and his wife reportedly preceded the attack. Police noted that Jyothi KT had previously visited the shop and issued threats.

Based on the complaint, Bantwal Town police have registered a case under relevant sections of the Bharatiya Nyaya Sanhita (BNS) and the Indian Arms Act-1959. An investigation into the incident is currently underway.

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News Network
December 4,2025

Udupi: A 40-year-old NRI from Udupi has reportedly lost more than Rs 12.25 lakh in an online investment scam operated through Telegram.

According to a complaint filed at the CEN police station, Leo Jerome Mendonsa, who has been working in Dubai for the past 15 years in computer accessories sales, maintains NRI accounts in Karkala and Nitte.

On November 12, 2025, Mendonsa was added to a Telegram group called Instaflow Earnings by unknown individuals. Users identified as Priya and Dipannita persuaded him to invest in “Revenue Tasks.” Initially, Mendonsa transferred Rs 1,100 multiple times and received the promised returns, encouraging him to continue.

On November 14, another user, Nishmitha Shetty, directed him to register on a website, digitvisionuoce.cc, and invest Rs 4 lakh in various shares. Over the next few days, he made multiple transfers totaling Rs 12,25,000, including Rs 50,000 via Google Pay, believing the scheme was legitimate.

After receiving the money, the alleged handlers stopped responding, and neither the invested amount nor the promised profits were returned.

The CEN police have registered a case under Sections 66(C) and 66(D) of the IT Act and Section 318(4) of the Bharatiya Nyaya Sanhita (BNS), and investigations are ongoing.

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