Strengthening strong relationship with West Asian Kingdom could shield India's oil and gas assets against threat from Pakistan. Analyse (200 Words)
Refer - The Indian Express
Enrich the answer from other sources, if the question demands.
IAS Parliament 5 years
KEY POINTS
· Saudi Arabia’s oil and gas infrastructure have been attacked repeatedly over the past several months. Recently four oil tankers, two of which belonged to Saudi Arabia were damaged by limpet mines, the East West oil pipeline that runs for 1,200 km across the Arabian peninsula was bombed.
· The Abqaiq attack compelled India to contemplate drawing on its strategic reserves and also look for alternative supplies. Fortunately, India did not suffer greatly from this disruption.
Relationship with West Asian Kingdom
· The attack has also compelled reflection on the state of the security of India’s oil and gas infrastructure.
· It is in the context India should encourage cross country investments with Saudi Arabia.
· Saudi Arabia has consequently considerable leverage over Pakistan and the latter in turn cannot afford to ignore Saudi economic interests when war gaming an offensive strategy against India.
· The partners are Aramco, Abu Dhabi National Oil Company (ADNOC) and Indian Oil. This project is currently stalled because of land acquisition and environmental clearance. This needs to be resolved soon.
· Reliance and Aramco are in discussion about the acquisition of a 20 per cent stake by Aramco in these businesses. The commercial logic for Aramco is compelling. It would secure a captive outlet for 5,00,000 barrels of crude oil a day and a foothold in India’s downstream market.
· India needs to secure stable oil and gas from Iran too by effectively applying the Look west Policy.
· For Iran, Chabahar is an important deep-water shipping alternative beyond the narrow Strait of Hormuz. For India, the port will provide a trade route to Afghanistan and Central Asia that bypasses Pakistan.
· As of June 2019, Chabahar was still exempt from U.S. sanctions because Washington viewed it as an economic lifeline for the beleaguered Afghan government.
· So this will be an opportunity for India to secure its oil supplies with Iran.
Vendhan 5 years
Tn
IAS Parliament 5 years
Try to underline key points. Keep Writing.
Davi 5 years
Kindly review.
IAS Parliament 5 years
Good attempt. Keep Writing.
DHARU 5 years
Kindly review!
IAS Parliament 5 years
Try to include about Initial Public Offering by Saudi Aramco. Keep Writing.
hema 5 years
Kindly review thank you
IAS Parliament 5 years
Try to include about Initial Public Offering by Saudi Aramco. Keep Writing.
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