ONGC, Oil India Plan Rs 32 Billion Offshore Drilling Campaign
OIL & GAS

ONGC, Oil India Plan Rs 32 Billion Offshore Drilling Campaign

State-owned oil explorers ONGC and Oil India Limited (OIL) plan to launch a Rs 32 billion stratigraphic drilling campaign in untapped offshore areas early next year, officials said. The initiative forms part of efforts to discover new hydrocarbon reserves and reduce India’s reliance on imports.
In the first phase, four wells will be drilled in the deepsea regions of the Andaman, Mahanadi, Saurashtra, and Bengal sedimentary basins. Global energy major BP will provide technical expertise in site selection and drilling operations.
Stratigraphic drilling, also called a stratigraphic test well, is exploratory in nature. It examines underground geological formations without producing oil or gas immediately. Data is gathered through coring, petrophysical logging, and seismic integration to build a detailed geological profile, helping assess whether the area contains commercially viable hydrocarbon resources.
“ONGC has confirmed that a rig is available, and drilling is expected to commence in early 2026,” an official involved in the project said. The government will reimburse ONGC and OIL for the campaign, including payments to BP for its services.
The government retains ownership of the blocks and will decide how any discovery is monetised, either via auction or allocation to a company or consortium. BP may seek a right of first refusal in future development, though no formal agreement has been conveyed.
India currently imports almost 88 per cent of its crude oil and half of its natural gas, costing around USD 150 billion annually. The stratigraphic drilling campaign is part of a broader strategy to raise domestic production.
The government has reduced ‘no-go’ zones by 99 per cent, unlocking over 1 million square kilometres of India’s Exclusive Economic Zone for exploration. Reforms, including improved gas pricing formulas and a cloud-based National Data Repository, aim to attract international investment.
Officials noted that a stratigraphic well may take up to three months to drill, with three to four quarters required to interpret the results.

State-owned oil explorers ONGC and Oil India Limited (OIL) plan to launch a Rs 32 billion stratigraphic drilling campaign in untapped offshore areas early next year, officials said. The initiative forms part of efforts to discover new hydrocarbon reserves and reduce India’s reliance on imports.In the first phase, four wells will be drilled in the deepsea regions of the Andaman, Mahanadi, Saurashtra, and Bengal sedimentary basins. Global energy major BP will provide technical expertise in site selection and drilling operations.Stratigraphic drilling, also called a stratigraphic test well, is exploratory in nature. It examines underground geological formations without producing oil or gas immediately. Data is gathered through coring, petrophysical logging, and seismic integration to build a detailed geological profile, helping assess whether the area contains commercially viable hydrocarbon resources.“ONGC has confirmed that a rig is available, and drilling is expected to commence in early 2026,” an official involved in the project said. The government will reimburse ONGC and OIL for the campaign, including payments to BP for its services.The government retains ownership of the blocks and will decide how any discovery is monetised, either via auction or allocation to a company or consortium. BP may seek a right of first refusal in future development, though no formal agreement has been conveyed.India currently imports almost 88 per cent of its crude oil and half of its natural gas, costing around USD 150 billion annually. The stratigraphic drilling campaign is part of a broader strategy to raise domestic production.The government has reduced ‘no-go’ zones by 99 per cent, unlocking over 1 million square kilometres of India’s Exclusive Economic Zone for exploration. Reforms, including improved gas pricing formulas and a cloud-based National Data Repository, aim to attract international investment.Officials noted that a stratigraphic well may take up to three months to drill, with three to four quarters required to interpret the results.

Related Stories

Gold Stories

Next Story
Resources

Schindler named among Forbes’ World’s Best Employers 2026

Schindler has been named among Forbes’ World’s Best Employers 2026, a global ranking recognising companies for their workplace environments.Compiled by Forbes in partnership with Statista, the ranking is based on independent employee feedback, including whether employees would recommend their organisation to friends and family.The company said the recognition reflected its focus on creating a workplace where employees can develop their expertise and build careers. ..

Next Story
Infrastructure Urban

India needs an export-execution mindset: Vishesh Jain

Interview with Vishesh Jain, Founder & CEO, EximpleWhat gaps in India’s global trade ecosystem led you to build Eximple, and what problem did you see businesses struggling with most?Eximple came out of a problem that all three founders had seen from different choke points in the trade ecosystem. India has millions of MSMEs and manufacturers, and many of them can make products that are genuinely competitive on quality. Yet only a small fraction is able to build meaningful international businesses. In our experience, the gap is usually not manufacturing capability; it is the ability to exe..

Next Story
Building Material

Nuvoco reports 13.5% revenue growth in Q2 FY27

Nuvoco Vistas Corp. Ltd. reported consolidated revenue of Rs 27.9 billion for Q2 FY27, up 13.5% year on year. Cement sales volume rose 9% to 4.7 million tonnes (MMT), while EBITDA increased 11% to Rs 4.11 billion.The company said it began its cement operations in 2014 with a 2.3 MMT per annum (MMTPA) operation at Nimbol. It now aims to reach 35 MMTPA of cement capacity by FY28, nearly 15 times its initial capacity. Its portfolio spans cement, ready-mix concrete and modern building materials.On sustainability and cost efficiency, Nuvoco partnered with CleanMax for a 46.4 MW wind-solar hybrid re..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

SPECIAL OFFER
QR Code