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India's state oil refiners may order tankers worth $600 mn for domestic use
The South Asian nation is seeking to bolster its domestic building capacity, with ships increasingly viewed globally as national strategic resources for energy, trade and defense. India currently has at least 40 yards, but only four have the ability to make vessels that are bigger than the medium-range tankers.
Still, refiners are lukewarm to the idea of owning and operating tankers, and have approached the government for financial support, according to the people. It's more economical for the processors to charter ships, they said.
Indian Oil Corp., BPCL and HPCL didn't reply to emails seeking comment.
The medium-range tankers will be in the range of 50,000 to 60,000 deadweight tons, and the tender could price the ships at $55 million to $60 million each, the people said. Indian Oil Corp. is expected to own six of the vessels, while BPCL and HPCL will each own two, they said.
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