India’s Petroleum and Natural Gas Minister, Hardeep Singh Puri, has said the nation’s energy sector is advancing steadily despite global fuel market volatility, supported by significant reforms in the oil and gas industry.

He noted that the country’s oil refining capacity has increased from 215 to 258 million metric tonnes per annum (MMTPA), with Jamnagar now hosting Asia’s largest refinery, exporting petroleum products to over 100 countries.

In the upstream exploration segment, the Open Acreage Licensing Policy (OALP) Round 10 has unlocked 250,000 sq km for further exploration and production. Required clearances have been reduced from 37 to 18, enhancing ease of doing business. Over Rs 108 billion has been invested in the upstream sector to strengthen oil exploration and production under Prime Minister Narendra Modi’s vision for resilient energy security.

Puri highlighted that nearly one million sq km of previously restricted offshore areas were opened for exploration in 2022. Since 2015, companies have reported 172 hydrocarbon discoveries, including 62 offshore. He emphasised the geological importance of the Andaman and Nicobar (AN) basin, located at the junction of the Indian and Burmese plates, which features stratigraphic traps ideal for hydrocarbon accumulation. Its proximity to proven petroleum systems in Myanmar and North Sumatra has drawn renewed global interest, especially after major gas finds in South Andaman offshore Indonesia.

In a significant move, ONGC and Oil India Ltd (OIL) have begun an ambitious ultra-deepwater exploration campaign in the Andaman region, targeting depths of up to 5,000 metres. A wildcat well, ANDW-7, drilled in the East Andaman Back Arc carbonate play, has yielded promising geological results, including traces of light crude, condensate, and heavy hydrocarbons. These findings confirm, for the first time, the presence of an active thermogenic petroleum system comparable to those in Myanmar and North Sumatra.

While commercial reserves are yet to be confirmed, the campaign has validated the region’s petroleum potential and paved the way for further focused exploration. So far, ONGC has made hydrocarbon discoveries in 20 blocks, with an estimated 75 million metric tonnes of oil equivalent (MMTOE) in reserves. OIL has reported seven discoveries in the past four years, with estimated reserves of 9.8 million barrels of oil and 2,706.3 million standard cubic metres of gas.