India's Crude Output Declines for Third Year Amid Push to Boost Offshore Exploration

India's crude oil output has declined for the third consecutive year in 2025/2026, according to Oil and Natural Gas Minister Hardeep Singh Puri. The country's domestic oil production fell by 3% during this period.

The government attributed the decline to natural depletion in mature and aging oil fields. However, state-owned Oil and Natural Gas Corporation (ONGC) managed to contain the annual decline to around 2% through Enhanced Oil Recovery (EOR) and Improved Oil Recovery (IOR).

To address this issue, India aims to boost offshore oil and gas exploration to reduce dependence on imports, which currently stands at 90%. The government has launched the National Offshore Exploration Scheme with $8.8 billion in support through FY 2030-31.