JAKARTA, Dec. 12 (Xinhua) -- The Indonesian government has announced a plan to construct an oil storage facility on an island near Singapore to reduce reliance on volatile oil prices amid global supply chain disruptions.

The facility would be designed to store various types of oil for 30 to 40 days, surpassing the country's existing oil storage capacity, which currently holds oil for only 21 days, Indonesian Minister of Energy and Mineral Resources Bahlil Lahadalia said on Wednesday.

The initiative is expected to lower the country's oil import costs, which currently total 500 trillion rupiahs (about 31.33 billion U.S. dollars) annually, he said.

Indonesia's oil production reaches approximately 600,000 barrels per day, while its oil consumption stands at 1.6 million barrels per day. Enditem

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