Cabinet approves ₹84,084 crore Samudra Manthan scheme to expand offshore energy exploration.
Scheme targets 60 deepwater wells, seismic surveys and infrastructure development by 2031.
Initiative aims to boost domestic reserves, production and India’s energy security.
India’s energy sector is set for a big push towards offshore exploration with the Union Cabinet approving ‘Samudra Manthan’, the National Offshore Exploration Scheme. The scheme aims to unlock offshore energy resources, increase domestic exploration and strengthen India’s energy security.
The Central Sector Scheme of the Ministry of Petroleum and Natural Gas has an approved outlay of ₹84,084 crore and will be implemented until the financial year 2030-31.
Aim Of The Scheme
'Samudra Manthan' focuses on increasing exploration activities in deepwater and ultra-deepwater areas. The scheme will support large-scale seismic data collection, processing and interpretation to identify potential oil and gas resources.
It also includes provisions for exploratory drilling in frontier basins, development of offshore production infrastructure and the creation of an integrated Oil and Gas Manufacturing and Services Zone.
The government expects the scheme to support the addition of more than 600 million metric tonnes of oil equivalent (MMTOE) in reserves.
Where Will The Money Go?
The ₹84,084 crore allocation has been divided across four major areas.
A major share of ₹43,200 crore will be used for drilling 60 deepwater exploration wells. The government will provide support of up to 50 per cent of eligible drilling costs, with a limit of ₹675 crore per well.
Another ₹28,534 crore has been allocated for offshore data acquisition. Seismic surveys will help map geological structures and improve understanding of potential energy reserves.
The government has earmarked ₹10,000 crore for developing common offshore production and evacuation infrastructure to help commercialise future discoveries.
An additional ₹2,000 crore will support the establishment of an Oil and Gas Manufacturing and Services Zone to promote domestic production of equipment and services.
Why Offshore Exploration Matters?
Offshore exploration is a capital-intensive activity with significant risks and long development timelines. Finding commercially viable oil and gas reserves requires advanced technology, extensive surveys and large investments.
Through 'Samudra Manthan', the government aims to reduce exploration risks and encourage greater participation from industry players.
The scheme is expected to increase domestic oil and gas production, generate employment and strengthen indigenous manufacturing under initiatives such as 'Make in India' and 'Atmanirbhar Bharat.'
Reducing Import Dependence
India relies heavily on imports to meet its energy requirements. The government has been working to expand domestic exploration and production to improve energy security.
'Samudra Manthan' will focus on unexplored offshore areas through seismic studies, scientific drilling and technology-driven exploration.
The scheme also builds on earlier reforms in the upstream sector, including opening offshore areas for exploration and strengthening the National Data Repository.
Long-Term Energy Strategy
The programme includes digital management systems, capacity building, technology adoption and international outreach.
It aims to create an integrated ecosystem for offshore exploration and production by combining exploration activities with infrastructure development.
According to government 'Samudra Manthan' is a major step towards strengthening India’s energy security and developing offshore capabilities.
While exploration activities involve uncertainty and long timelines, the scheme seeks to create new opportunities for discoveries, investment and growth in the oil and gas sector.
