Explanation:

Recently, the United States and India signed a memorandum of understanding that could result in India renting space in the US Strategic Petroleum Reserve for an overseas oil stockpile, after Australia did the same earlier this year.

• India is moving to store oil in the US, and this is the first time India is creating an emergency reserve abroad.
• India, the world’s third largest oil consumer, is looking to take advantage of low prices and guard against possible supply disruptions.
• India and U.S. have signed MoU to begin co-operation on strategic petroleum reserves.

Hence option 2nd is correct.