Supply of POL and LPG products from IndianOil to Nepal Oil Corp was started in 1974 when the first supply agreement was signed. Thereafter, the agreement was renewed periodically.
Indian Oil Corporation Limited (IndianOil) and Nepal Oil Corporation (NOC) signed a Memorandum of Understanding (MoU) which would enable releasing of BS-IV grade fuels to Nepal from IOCL supply points with effect from April 1, 2017 for five years to convert Nepal markets into green fuel.
The supply agreement signed for the period April 2017 – March 2022 and will meet NOC’s full requirements of all the major POL products, including petrol, diesel, kerosene, aviation turbine fuel & LPG, the IOCL said in a statement.
The new agreement is based on the concept of “Umbrella Agreement” by keeping the provisions of future MoUs subsidiary to this. A provision has been kept for collaboration in new fields like Engineering, Projects, Aviation Fuelling, Retail Sales, Petrochemicals, Business Developments & LPG ventures.