India’s finance ministry has scrapped a $602 million plan to top up the nation’s strategic crude oil reserves, given market volatility and the prospect of a further decline in prices.
Instead of buying at current levels — Brent crude has already slumped about a fifth from a September peak, and could fall further if supply remains plentiful — the ministry is asking state-owned Indian Strategic Petroleum Reserves Ltd to lease out empty underground storage to refiners and global oil majors, according to people familiar with the matter. They asked not be named as the discussions aren’t public.
