Massive Oil Discovery in Andaman Sea? Here's Why It Could Transform India’s Energy Future

India may be on the brink of a massive offshore oil find in the Andaman Sea that could rival Guyana’s transformational discovery. Union Minister Hardeep Singh Puri believes this could significantly boost India's economy and energy security, as per news reports.

A Discovery with Guyana-Like Potential?

In an interview with The New Indian, Puri hinted at the possibility of India finding a “Guyana-like” jackpot, stating that early signs of oil presence “green shoots” have already emerged in several locations, including the Andaman Sea. If successful, such a find could rival Guyana’s estimated 11.6 billion barrels of crude reserves, which dramatically reshaped its economy.

Puri noted, “When we find our own Guyana, India could leap from a $3.7 trillion economy to $20 trillion,” underlining the immense impact such a discovery could have on the country’s economic trajectory.

Learning from Guyana’s Playbook

Guyana’s offshore discovery by ExxonMobil, Hess Corporation, and CNOOC turned the small South American country into a global energy hotspot. It catapulted the nation into the ranks of the top 20 oil reserve holders and attracted global investment, driving rapid economic expansion.

India now looks to replicate that success. According to Puri, the confidence stems from both promising geological indicators and recent policy reforms that have made exploration more attractive.

ONGC Pushes Exploration to Record Levels

State-run Oil and Natural Gas Corporation (ONGC) has stepped up its drilling activities to unprecedented levels. In FY24, ONGC drilled 541 wells the most in nearly four decades, including 103 exploratory wells. The company also hit a record capital expenditure of ₹37,000 crore, signalling strong commitment to domestic oil production.

Puri emphasised the patience and persistence required in such ventures, citing how Guyana struck oil only after drilling more than 40 high-cost wells.

Strategic Energy Independence

India currently imports over 85% of its crude oil, making it the third-largest importer globally, after the US and China. Most of India’s domestic production is concentrated in regions like Mumbai High, Assam, Gujarat, Rajasthan, and the Krishna-Godavari Basin.

Unlocking new reserves in the Andaman Sea could significantly reduce India’s reliance on foreign oil and enhance national energy security.

Read More: Commerce Ministry to Meet Shipping Lines Amid Iran-Israel Trade Concerns.

Conclusion

While it's still early days, the growing optimism around the Andaman Sea’s oil potential signals a new chapter in India’s energy exploration story. With record drilling, bold reforms, and policy clarity, India might just strike the kind of energy fortune that could reshape its economic future.

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