India Unveils ₹84,084 Crore Offshore Oil Exploration Scheme

The Indian government has approved an ambitious offshore oil and gas exploration scheme worth ₹84,084 crore to boost domestic production and reduce reliance on crude oil imports.

The 'Samudra Manthan' National Offshore Exploration Scheme aims to accelerate offshore oil and gas exploration in India's deepwater and ultra-deepwater hydrocarbon reserves through modern seismic surveys, financial support for exploration drilling, common offshore infrastructure, and promotion of domestic manufacturing.

The scheme is expected to increase India's domestic oil and gas production from 62 million metric tonnes of oil equivalent (MMTOE) to 80 MMTOE annually, while expanding the country's hydrocarbon resource base from 1.6 billion tonnes of oil equivalent (TOE) to 2.2 billion TOE.

The government will provide financial support of up to 50 per cent of eligible drilling costs, subject to a ceiling of ₹675 crore per well, to encourage investment in high-risk offshore exploration.