Now Reading: India drafts year-wise drilling roadmap for $8.8 bn Samudra Manthan
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India drafts year-wise drilling roadmap for $8.8 bn Samudra Manthan
The Oil Ministry is finalising a year-wise execution roadmap for drilling, seismic surveys and rig deployment under the $8.8 billion Samudra Manthan offshore exploration scheme. Oil Minister Hardeep Singh Puri reviewed progress…
The Oil Ministry is finalising a year-wise execution roadmap for drilling, seismic surveys and rig deployment under the $8.8 billion Samudra Manthan offshore exploration scheme. Oil Minister Hardeep Singh Puri reviewed progress this week after two recent brainstorming sessions in Gurugram and Duliajan. The plan will target basins such as KG, Mahanadi, Andaman and Cauvery, with state-run ONGC and Oil India leading execution.
A dedicated ONGC-led joint venture will address drillship capacity through shared investment and long-term chartering, Puri said. The scheme, backed by Rs 84,000 crore in Phase-1 funding valid until FY31, aims to add 10-15 million tonnes of oil equivalent in annual production, reducing India's import dependence. Deep water wells costing about Rs 1,000 crore each remain a high-risk, capital-intensive focus area where domestic experience is limited.
The scheme also provides funds for seismic data acquisition in former no-go zones, addressing a key data gap that has hindered commercial exploitation. It covers the full offshore exploration value chain, including digital programme management, capacity building and international outreach. The year-wise roadmap is now being finalised for implementation across India's sedimentary basins.
Indian Opinion Analysis
India imports about 85% of its crude oil needs, making every barrel produced at home a direct saving on the import bill. Deep and ultra-deep water drilling remains largely untested for domestic firms, with ONGC having limited experience beyond shallow waters. The government's Rs 84,000 crore commitment under Phase-1 provides upfront capital for high-risk wells that were not viable at $60-65 per barrel. The year-wise roadmap gives ONGC and OIL a structured timeline to build rig capacity and acquire seismic data. Industry watchers will track whether the government discloses the quantum and timelines of financial support, and if global exploration firms join the venture, as brokerage reports suggest.
Source: thehindubusinessline.com
This brief was synthesised by AI from the source linked above.
