India’s upstream companies, such as Oil and Natural Gas Corporation and Oil India Limited, are currently engaged in exploration activities in the Andaman Sea, which remains a largely uncharted region. Oil Minister Hardeep Singh Puri has conveyed his optimism regarding the potential for India to achieve a ‘Guyana-sized’ discovery in the waters of the Andaman, a finding that could significantly transform the nation’s oil and gas sector. The Indian government is particularly focused on the Andaman due to its reliance on oil and gas imports, which have not seen growth in recent years. The government has set a target to expand exploration acreage to 0.5 million square kilometers by 2025 and to 1 million square kilometers by 2030, with an additional 250,000 square kilometers available for exploration in the most recent OALP round. Furthermore, the Indian government has enacted the Oilfields Amendment Bill, 2024, aimed at enhancing investment in oil and gas exploration and facilitating a more business-friendly environment in the industry. The Draft Petroleum & Natural Gas Rules, 2025 will implement an investor-friendly stabilization clause designed to shield lessees from negative consequences arising from future legal or fiscal modifications.
Oil Minister Puri believes Andaman oil finds could be India’s ‘Guyana-sized’ discovery
