ONGC Set to Lead India’s Offshore Energy Expansion Under ₹84,084-Crore ‘Samudra Manthan’ Scheme
National Offshore Exploration Scheme expected to accelerate ONGC's exploration, strengthen reserve base, and bolster India's energy security
In a major policy initiative aimed at enhancing India’s energy security, the Union Cabinet has approved the ₹84,084-crore ‘Samudra Manthan’ (National Offshore Exploration Scheme), a move that is expected to significantly benefit Oil and Natural Gas Corporation (ONGC), the country’s largest oil and gas exploration and production company.
The Central Sector Scheme, to be implemented till FY2030-31, seeks to unlock India’s vast offshore hydrocarbon resources through intensified exploration in unexplored and under-explored offshore sedimentary basins. With a target of adding more than 600 Million Metric Tonnes of Oil Equivalent (MMTOE) of oil and gas reserves, the scheme is expected to provide ONGC with fresh opportunities to expand its offshore exploration portfolio and strengthen its long-term production outlook.
Major Growth Opportunity for ONGC
ONGC has been at the forefront of India’s offshore oil and gas exploration for decades, with its offshore assets contributing a substantial share of the country’s domestic hydrocarbon production. The approval of the Samudra Manthan Scheme is expected to provide the company with a renewed impetus to explore frontier offshore basins, particularly in deepwater and ultra-deepwater regions.
The government’s substantial financial commitment underscores its intent to reduce India’s dependence on imported crude oil and natural gas while encouraging greater domestic exploration and production.
Unlocking New Offshore Reserves
A significant portion of India’s offshore sedimentary basins remains unexplored. The scheme will facilitate extensive seismic surveys, geological mapping and exploratory drilling, creating opportunities for ONGC to identify and develop new hydrocarbon reserves.
Given its established offshore infrastructure, technical expertise and operational experience, ONGC is well placed to lead exploration activities under the new initiative.
The targeted addition of more than 600 MMTOE of reserves by FY2030-31 is expected to strengthen ONGC’s reserve replacement ratio and provide greater long-term production visibility.
Boost to Energy Security
India imports nearly 85 per cent of its crude oil requirements, making domestic exploration a strategic priority. Increased offshore discoveries by ONGC would help reduce import dependence, improve energy resilience and contribute to lowering the country’s import bill.
The scheme also aligns with the Government’s broader vision of achieving greater energy self-reliance through enhanced domestic production.
Leveraging Existing Infrastructure
ONGC has already invested significantly in offshore platforms, production facilities, pipelines and processing infrastructure. Fresh discoveries under the Samudra Manthan Scheme can potentially be integrated with these existing assets, improving project economics and enabling faster commercial production.
The initiative also complements ONGC’s ongoing investments in redevelopment of mature offshore fields, enhanced oil recovery techniques and deepwater exploration projects.
A Strategic Policy Push
For ONGC, the Cabinet’s approval of the Samudra Manthan Scheme represents far more than an exploration programme. It provides a long-term policy framework that could accelerate offshore discoveries, expand reserves, enhance production and reinforce the company’s leadership in India’s upstream oil and gas sector.
As India intensifies efforts to achieve energy security and reduce import dependence, ONGC is expected to play a central role in translating the objectives of the Samudra Manthan Scheme into tangible hydrocarbon discoveries and sustained domestic production growth.
