The government plans to more than treble the area under exploration to 700,000 sq. km in five years from 200,000 sq. km currently to boost chances of oil and gas discoveries and lift India’s declining output.
Recent policy reforms and the emergence of new geological data from the National Seismic Programme should help attract big investments in the sector, oil ministry officials said. Increased exploration, coupled with advanced technologies, can augment the prospects of hydrocarbon discovery, which can be exploited to increase local oil production.
India’s oil output fell 4% to 34.2 million tonnes in 2018-19. In the past two years, India doubled the exploration acreage to 200,000 sq. km by offering more than 90 oil and gas blocks in three auction rounds. The government now plans to add 500,000 sq. km of exploration acreage in five years.
The key driver is the availability of new geological data in areas that have been surveyed over the past three years. Read More