New Delhi: Oil and Natural Gas Corporation (ONGC) has officially started to preparing to invest around $10.5 billion (Rs 1 lakh crore) over the next five years to explore deepwater and ultra-deepwater oil and gas fields in India. ONGC aims to increase domestic energy production and find latest reserves in offshore areas. However, the ONGC Chairman and CEO Arun Kumar Singh has also said that the ONGC also planning to drill around 87 deepwater and ultra-deepwater wells by the March 2031.
Ths investment will aims on areas where the India has large but still untapped oil and gas reserves. Advances in technology are now making it possible to explore these difficult offshore locations. This moves comes at a time when India is looking to increase its domestic energy production and reduce its dependence on imported crude oil.
India is world’s third-largest oil importer and consumer. ONGC also needs to latest discoveries as the country’s crude oil production has declined for 11 consecutive years by including fiscal 2026. The drilling programme will going to increase gradually over the next five years. ONGC plan to drill 8 deepwater wells in FY27, which is followed by 10 in FY28, 20 in FY29, 22 in FY30 and 27 in FY31.
Alongside with the deepwater exploration, ONGC is also planning to invest about Rs 7,000 crore to build a 1.75 million tonne strategic petroleum reserve in Mangalore. ONGC has already acquired land for the project. This reserve likely to strengthen India’s ability to deal with sudden changes in the global curde oil prices and supply disruptions. ONGC is also preparing to extend its presence in the global oil trading business. ONGC hopes to establish trading unit in Dubai or Singapore by March 2027 via joint venture with an international partner.
Proposed venture might trade around 50 millions tonnes of crude oil, refined products and gas every year, by including volumes from third parties. ONGC’s deepwater investment is major step twoard finding latest domestic energy resources and strengthening India’s long term energy security.
