Minister of Petroleum & Natural Gas, Hardeep Singh Puri, announced that the Exploration and Production (E&P) sector in India presents investment opportunities worth $100 billion by 2030. Speaking at the inaugural session of the first edition of Urja Varta, Minister Puri highlighted the critical role of the E&P sector in achieving energy self-sufficiency and sustaining economic growth.
Minister Puri emphasized the untapped potential of India’s 26 sedimentary basins, which hold substantial reserves of crude oil and natural gas. Despite significant progress, he noted that only 10% of the sedimentary basin area is currently under exploration, with plans to increase this to 16% by the end of 2024 following the forthcoming Open Acreage Licensing Policy (OALP) Rounds.
‘The government is actively catalyzing investments in the E&P sector through sweeping reforms. We aim to expand India’s exploration acreage to 1 million sq. km. by 2030,’ said Shri Puri. He also highlighted that “No-Go” areas in India’s Exclusive Economic Zone (EEZ) have been reduced by almost 99%.
The Minister discussed the acceleration of exploration activities through initiatives like the OALP and the Discovered Small Field (DSF) Policy. “Through the first eight OALP bid rounds, a total of 144 blocks covering approximately 244,007 sq. km. have been awarded. The recently announced OALP IX round offers an area of approximately 136,596 sq. km. spread over eight sedimentary basins,” he said. The DSF Policy, since its inception in 2015, has garnered investments of approximately $2 billion and brought 29 new players into the field.
Minister Puri also focused on the government’s commitment to promoting scientific data-driven exploration. An investment of Rs. 7,500 crores is allocated for acquiring new seismic data, financing stratigraphic wells, and aerial survey data for difficult terrains. He mentioned the availability of geoscientific data for basins on both the west and east coasts, and the upgrade of the National Data Repository to a cloud-based system, facilitating instant access to seismic, well, and production data.
In efforts to improve the ease of doing business in the E&P sector, Puri noted the consolidation and simplification of approval processes. ‘We have consolidated 37 approval processes into 18, with nine processes now eligible for self-certification. However, further reforms are necessary to reduce delays in regulatory permissions,’ he added.
The Minister announced the formation of a Joint Working Group (JWG) comprising representatives from private E&P operators, National Oil Companies, MoPNG, and DGH to address industry concerns and improve business operations. Additionally, he directed the DGH to integrate its various online portals by the end of the year.
Concluding his address, Minister Puri expressed confidence that Urja Varta 2024 would serve as a catalyst for collaboration and innovation in the energy sector. He invited stakeholders from industry, academia, and government to leverage the platform to contribute towards India’s energy security goals.
Following his address, Minister Puri inaugurated an Exhibition Gallery and Innovation Centre, showcasing technical papers and innovations in the oil and gas sector, underscoring India’s commitment to technological advancement and sustainable energy practices.
Urja Varta 2024, a two-day conclave organized by the Directorate General of Hydrocarbons (DGH), aims to unlock India’s untapped upstream hydrocarbon resources sustainably. The event features strategic summits, panel discussions, B2B meetings, and presentations on topics ranging from enhanced oil recovery techniques to digitalization in the oil and gas sector. The Innovation Center and Exhibition Gallery highlight innovations by startups, service providers, and E&P companies in the upstream sector.
With over 400 delegates, 50 exhibitors, and 100 speakers, Urja Varta 2024 fosters investment, innovation, partnerships, and sustainable growth in India’s hydrocarbon sector.
