India Unveils 'Samudra Manthan' Scheme with Rs 84,084 Crore Budget for Offshore Oil and Gas Exploration
The Indian government has approved an ambitious offshore oil and gas exploration scheme called 'Samudra Manthan' with a massive budget of Rs 84,084 crore for implementation up to fiscal 2030-31. The move aims to strengthen India's energy security by substantially increasing seaward activity and reducing dependence on imports.
The scheme under the ministry of petroleum and natural gas is expected to catalyse reserve accretion of over 600 million metric tonnes of oil equivalent (MMTOE), substantially increase offshore exploration activity, promote higher domestic oil and gas production, and generate large-scale employment.
Union minister Ashwini Vaishnaw termed the scheme a 'major game-changer' amid rising demand for oil and gas in India. He said that it will help in saving a lot of foreign exchange and stimulate significant investments across the exploration and production value chain, creating long-term opportunities for industry, innovation, and economic growth.
The government will provide support of up to Rs 650 crore for each well drilled in deep-sea and ultra-deep-sea areas. Over Rs 43,200 crore out of the total outlay will be allocated over five years through 2031 to support deep-sea drilling, an activity involving high costs and significant geological risks.