Managing Director, Indian O11 Corporation Mumbai, We are very much thankful for IOC: for thelr kind eo-operston extended fo us during 13%) August 2015 to Ul 20st Sept 2015, when there were some cificultes in the Terai bordering regions (especial- Iy in Bitgun)) for the smooth movement of petroleum products. But after tne period, 1OC did Denave NGG in a diferent manner and atttude initially at Rlaxeul and gradualy at other locations. We strong- ly object for this behavior and non-cooperation shown by your managers especially al Raxaul where NOC's competent senior officer was made to wander desperately from IOC depot - Custom - Security and vice versa in Indian land, which was never expected. We feel that, had thete been any difficulty for 1OC ta provide load to NOC TTs, the same would have been passed on fo us in wnting. After & Undeclared complete blockade folowed oy non-supply of FOL products for around seven days, tnere have been very litle sign of progress tll the cate. You are aware that stil NOC contracted tank trucks are waiting to take load of petroleum products at your Sitigurl terminal (19 TTs), Barauni Marketing Terminal (26TTs), Raxaul Depot (83 TTs), Baitalpur Depot (21 TTs) and Gonds Depot (10 TTs) and these have been miserably and desperately stranded al foreign land bearing fear and psychological anxiety in every drivers find. Similarly, during the petiod, not a single LPG bullet is loaded for NOC from 10C's Haldia, Bareuni and Mathura refinery Gespite having been issued more than 200 PDOs altogether. In contrary to this, from every above mentioned supply points, IOC is providing normal load to i's dealers and customers, The reasons of mechanical failure as mentioned in your LPG activity reporis and security reasons in general, Is total- ly baseless, ridiculous and against the spirit of NOC- IOC supply agreement signed on 27th April 2012, Moreover, you Would like to recall the smooth supples thet IOC made dunng the insurgency or Maoist’s people's war period, where there was significant security threat to every TTS plying under NOG banner within Nepal 10C's unilateral decision of non-supply and nion-co-operation for the supply of petroleum products into ur country has left the entire Nepalese consumers in vain and trouble, the cost of which is Beyond imaginations. In Kalnmandu, we are virtually depiived of Petrol, Diesel, Aviation Fuel and LPG. We have drastically contralied and rationed the sales of Petrol, Diesel and Aviation fuel, Que to the short- age of petrol and Diesel, Nepalese consumers are asked 16 ply odd and even number vehicles on odd and even dates. There wete recotd breaking almost 2 kilometers long ques of Bikes, car, taxi and buses. Peoples have been sleeping on their bikes and inside vehicles throughout night just to get 3 oF 10 litres of Petal. Only 25% aut of night long waiting peoples do get their share of rationed Petrol and Diesel, whereas 75% do return with their empty tanks. During this period NOC. sold 100 KLs of petrol and 200 KLs of Diesel against the normal 400 KLs of Petrol and 600 KLs of Diese! at Kainmandu valley. From yesterday, due to the bottom-ine stock. we stopped giving pevol 10 private vehicies, Only the vehicles on public transportation are allowed to get rationed Petrol and Diesel. Peoples are forced to walk of travel in heavily crowded buses. Yesterday, one person died at Kathmandu, after ne fell of from crowded bus's root. Most af the schools and colleges nave already been closed due to me shortage of diesel and petrol. The hospitals are gradually closed due to the shortage of Diesel to run their gen sets. Print media, FM radio and TV stations are on the closure one by one due to power shortage. Similarly, mikidaiy industry hatchery, waler supply, banks are also al gieal risk With no LPG in the Kitchen, general public have started to sleep with empty stom- ach, Throughout the entire nation, due to the shortage and depleted stocks, we have vitually closed ‘Our depois and regional offices. Only security and emergency stocks nave Deen used under the stict monitoring of respective governmental authorities. Therefore, our country is in the state of petroleum emengency and ensis, tne cost of which is simply immeasurable ‘You may kindly note that, we nave slresdy informed you about our nancial and nsttutional losses that we ate incurring on daily basis over the nan-supply af petroleum products by IOC. Your step exercised in ihe last one oF two days to provide load to one or two NOC TTs out of 30-40 Ts has further tortured and shattered us to nowhere and drawn our serious sttention on the matter, 1OC, being a multinational company of the region, shauld not be iwolved in such unethical and unreason- able business practices, that too, with a long time ousiness pariner like NOC, We relied fully on 1OC {and dian’ even ink of naving more stocks in our hand and also never Wooked into any other arer- natives on the basis of cordial relationship that we enjoyed in last four decades of time. It is a mmatier of serious concem that, because of IOC's non supply of ATF from Raxaul, NOG ts forced to Fequest Nepalese Civil Aviation Authonty le issue NOTAM to all the international airines mentioning that there Is non-suppiy from source and an ecuie shoriage of Aviation fuel at KTM. This has not only caused NOC to incur heavy losses but also damaged NOC and IOC image In the international aiine business ‘The forty years tong historical relationship between IOC and NOC has come to a crossroad and NOG despite having no contractual default with |OC, nas been sutfenng heavy financial and brand Image losses in the Nepalese market which needs to be compensated by IOC. We will Send you the details in our future correspondence Hence, lastly, to safeguard our historical relationship and the spirt of supply agreement signed in 2012, we reiterate and request IOC to immediately resume sll normal and shortfall petroleum supplies to NOC. GPOBox 1140, Babarmahal, Kathmandu Phone: 977-1) 4262780, 4263481, 4263482. and 4263485; Far (977-1) 4263400 rail info@nenalod com ap URL: www nepbil com np