STN: India may be close to a major crude oil discovery in the Andaman Sea. Union Minister for Petroleum and Natural Gas, Hardeep Singh Puri, recently said the country could soon find an oil reserve similar to Guyana’s. If proven, the discovery could hold about 184,440 crore litres of oil.
Puri made this statement during an interview with The New Indian. He credited policy changes and aggressive drilling as key factors behind this progress. He also said the discovery could expand India’s economy from $3.7 trillion to $20 trillion.
Oil Jackpot in Andaman: A Possible Game-Changer
Hardeep Singh Puri said, “It’s only a matter of time before we find a big Guyana in the Andaman Sea.” He added that earlier efforts focused on the Krishna Godavari Basin. But recent developments show promise in the Andaman region.
New drilling operations are now targeting deep-water zones that were once hard to access. Government reforms and foreign investment are also supporting these efforts.
Costly Exploration, But High Rewards
The minister highlighted the high cost of oil exploration. He mentioned that in Guyana, 43 to 44 wells were dug before success. Each well cost around $100 million.
In India, ONGC has taken the lead. In FY24, it drilled 541 wells. Out of these, 103 were exploratory and 438 were development wells. The company invested ₹37,000 crore that year—the highest ever in its history.
Oil Jackpot in Andaman May Reduce Import Dependence
India currently imports over 85% of its crude oil. This makes it the third-largest importer globally, after the U.S. and China. A successful oil find in the Andaman region could help reduce this dependence.
The government sees this as a step toward energy security. If reserves match estimates, India could produce more oil locally. This would help cut foreign spending and boost domestic energy supply.
Comparison with Guyana’s Discovery
In the interview, Puri compared India’s efforts to Guyana’s success. Guyana’s reserves were found by Hess Corporation and China’s CNOOC. They discovered about 11.6 billion barrels of oil and gas. This changed Guyana’s position in the global oil market.
Guyana now ranks 17th worldwide in oil reserves. India hopes to replicate this success in the Andaman Sea.
Expanding Exploration to New Regions
At present, India produces oil mainly from Assam, Gujarat, Rajasthan, Mumbai High, and the Krishna-Godavari Basin. Strategic reserves are kept in Visakhapatnam, Mangalore, and Padur. More sites are planned in Odisha and Rajasthan.
Now, companies like ONGC and Oil India are exploring the Andaman and Nicobar Islands. These efforts are part of India’s larger goal to discover new reserves.
Conclusion: Oil Jackpot in Andaman May Shape India’s Future
The oil jackpot in Andaman, if confirmed, could reshape India’s energy map. It could also make India more self-reliant and reduce pressure on foreign reserves.
The government’s continued focus on exploration and reforms signals a long-term plan. As drilling continues, the Andaman Sea remains a key area to watch.
