NEW DELHI, India India and the United Arab Emirates (UAE) on Wednesday signed an agreement on storing Abu Dhabi's oil in India's strategic petroleum reserves.
"This agreement aims to establish a framework for the storage of crude oil by Abu Dhabi National Oil Company in India and to further strengthen the strategic relationship between the two countries in the field of energy," an Indian government statement said.
The deal with ADNOC is one of several agreements signed in various fields between the two countries during Abu Dhabi Crown Prince Sheikh Mohammed Bin Zayed Al Nahyan's visit to New Delhi.
Other agreements signed on Wednesday cover areas such as cyberspace, tackling human trafficking, cooperation in the maritime sector, and allowing visa-free travel for holders of diplomatic and official passports.
The Abu Dhabi crown prince, welcomed by Prime Minister Narendra Modi with a hug upon his arrival in New Delhi on Tuesday, will be the guest of honour at India's Republic Day parade on Thursday.
State-owned Indian Strategic Petroleum Reserves Ltd is building oil facilities in Vizag, Mangalore and Padur in southern India to store oil for emergencies.
India will have the right to use the stored ADNOC oil in case of an emergency while Abu Dhabi will be able to drawn from the facility to meet its market needs.
The UAE is one of India key suppliers of oil, while their bilateral trade is about US$50 billion a year. India is keen to grow its relationship with the UAE into a strategic one, enabling it to have more influence in the Middle East.
Source: NAM NEWS NETWORK