Mangalore :

Union minister for petroleum and natural Gas M Veerappa Moily on Saturday dedicated the Mangalore Refinery and Petrochemicals Ltd (MPRL) single point mooring and allied facilities to the nation at Tannirbhavi near here.

MRPL has set up the SPM in the high seas, 17-km off the Tannirbavi coast, along with a coastal booster pumping station at a cost of over Rs1,000 crore and commenced operations following trial runs since August.

The SPM, a buoy in the high seas will enable MRPL to ship in crude parcels on very large crude carriers (VLCC) which will provide freight economies and also optimize on logistics. This will also help MRPL source West African and Latin American crudes which provide cost advantages. Additionally, Indian Strategic Petroleum Reserve Ltd, which has its underground caverns at Mangalore and Paddur, will also benefit from this facility.

P P Upadhya, managing director, MRPL, said SPM will vastly decongest oil jetties at New Mangalore Port and enable MRPL to receive all types of crudes that VLCC can transport. “One can expect these VLCCs to discharge crude at the rate of 10,000 kilo litres per hour,” he said, adding that the entire crude parcel contained in such vessels can be discharged in 36 hours. Such discharged crude will go to both MPRL and ISRPL facilities, he said.

MRPL will be in a position to receive 13 million tonnes of its annual crude refining capacity of 15 million tonnes from VLCCs and the remaining 1.5-2 million tonnes on board smaller vessels. The draft of 31 metres on the high seas makes it easier for VLCCs to discharge crude there as against the 14-metre draft available at the oil jetties at NMP. “The smaller vessels will still berth at these oil jetties and not discharge crude at SPM,” he added.

Batting for SPM technology, Moily said: “I have seen this in operation in Jamnagar with Reliance, Essar and IOCL receiving their crude parcels there.” Moily allayed fears of an oil spill out on the high seas as the technology is tried and tested that the rest of the world is using for a long time.

Turbulent sea condition during monsoon might prove to be a small impediment to use SPM and might witness some delay, Upadhya said.

source: http://www.articles.timesofindia.indiatimes.com / The Times of India / Home> City> Mangalore> Mrpl / TNN / December 08th, 2013