Vedanta Invests $200 Million in Rajasthan Oil Operations

Vedanta Oil and Gas plans to invest $200 million in its Rajasthan operations during 2026-27 to boost production, aiming to offset natural declines and improve recovery from existing oil assets.

The investment will focus on the Mangla, Bhagyam, and Aishwariya fields in northern Rajasthan, with a major share directed towards the Mangla field. Discovered in 2004, Mangla played a key role in establishing Barmer as India's largest onshore oil-producing region.

Vedanta aims to raise crude production from Mangla to over 150,000 barrels per day, up from around 80,000 bpd currently, using enhanced recovery techniques and well interventions.

Jim Johnny Gast, interim CEO and whole-time director of Vedanta Oil and Gas, stated that mature producing fields witness an annual natural decline of between 1-3%. Improving recovery from existing wells is crucial for increasing domestic production.