Nagpur: In a daring buyout in the Arabian Sea, Nagpur-based private LPG bottling company Confidence Petroleum Ltd literally ‘hijacked’ two vessels laden with as much as 50,000 million tons (MT) of cooking gas on its way to China from UAE in the middle of the voyage.In a negotiation that lasted for over a week, Confidence finally purchased the consignment by quoting a hefty premium as against the price paid by the Chinese buyer to the seller in UAE. This was confirmed to TOI by the company’s chairman Nitin Khara on Monday. The ships were then turned towards India from their way to China and the vessels reached the Indian western coast and are awaiting final formalities before berthing at one of the ports. The last-minute formalities are under way after which finally the consignment would be unloaded, said a top source. It was tough, but the deal could be finally cracked by offering a sizeable premium, said a source privy to the development.This comes as a much-needed relief as close to 32000 MT of the stock would go to the govt-owned oil marketing company, Hindustan Petroleum Corporation Limited (HPCL). This is enough to replenish 22 lakh cylinders, said a source. The remaining quantity would be kept by Confidence Petroleum for its own needs that includes bottling cooking gas and replenishing its auto LPG filling stations.The company has also entered into an in-principle agreement with other PSU oil companies for further supplies in coming days, said sources. Confidence Petroleum is touted as the biggest private sector bottling company in the country with over 300 auto LPG stations, including in Nagpur.The buyout of the China-bound stock comes at a time when the company’s two vessels carrying over 11,500 MT of LPG each are stranded at the Strait of Hormuz. As consignments remain stuck in the war zone, Confidence Petroleum has purchased a vessel carrying 22,400 MT from BB Energy in the US. This was the first-ever procurement from the US by the company amid the crisis. The ship sailed off from Houston and it would take around 28 days to reach India from the US.Another ship carrying 11,500 MT which included supplies meant for Bangladesh and Sri Lanka landed at India and the stocks were diverted for domestic consumption.
