Cabinet okays 'Samudra Manthan' scheme with Rs 84,084 crore outlay to boost oil exploration
New Delhi, July 31
The Union Cabinet, chaired by Prime Minister Narendra Modi, on Friday approved 'Samudra Manthan' - the National Offshore Exploration Scheme -- with an approved outlay of Rs 84,084 crore for implementation up to FY 2030-31, as the world grapples with energy shocks due to geopolitical tensions.
The Central Sector Scheme of the Ministry of Petroleum and Natural Gas marks a landmark step towards strengthening India's energy security, accelerating domestic exploration and production, promoting technological leadership, and advancing the vision of Viksit Bharat, according to a Cabinet communique.
'Samudra Manthan' is projected to catalyse reserve accretion of over 600 million metric tonnes of oil equivalent (MMTOE), substantially increase offshore exploration activity, promote higher domestic oil and gas production, generate large-scale employment, strengthen indigenous manufacturing under Make in India and Atmanirbhar Bharat, and foster a globally competitive ecosystem for offshore technologies and services.
The scheme is also expected to stimulate significant investments across the exploration and production value chain, creating long-term opportunities for industry, innovation and economic growth, the communique said.
According to the Cabinet, the scheme encompasses a comprehensive set of interventions across the offshore exploration value chain.
It also provides for large-scale acquisition, processing and interpretation of high-quality seismic data, accelerated deepwater and ultra-deepwater exploratory drilling, scientific drilling in frontier basins, development of common offshore production and evacuation infrastructure, and establishment of an integrated Oil and Gas Manufacturing and Services Zone.
The scheme also includes dedicated provisions for digital programme management, capacity building, technology adoption, stakeholder engagement and international outreach, creating an integrated ecosystem to accelerate offshore exploration and production in the country.
Over the past decade, the government has undertaken transformative reforms across the upstream sector, including opening almost the entire offshore acreage for exploration, modernising the legislative and contractual framework, and strengthening the National Data Repository.
"Building on these reforms, Samudra Manthan will usher in a new era of accelerated offshore exploration through strategic public investment, cutting-edge technologies and world-class infrastructure," the communique said.
— IANS
Reader Comments
Good initiative, but I hope the government is also focusing on renewable energy with the same zeal. We need a balanced approach - oil for now, but solar and wind for the future. Also, hope this creates jobs for our engineering graduates in the oil sector.
The name 'Samudra Manthan' is apt - just like the mythological churning of the ocean, this will bring out the best for our nation. But we need to ensure transparency in execution. Past schemes have often looked good on paper but struggled on the ground. Let's hold them accountable.
Impressive scale! As someone who follows global energy markets, this is a bold move by India. The deepwater exploration is particularly challenging - I hope they bring in global expertise and not just rely on domestic tech alone. The Make in India angle is good, but collaboration is key.
As a coastal state resident, I'm excited about the employment potential this brings to regions like Mumbai, Gujarat, and Chennai. But we must also ensure environmental safeguards. Offshore drilling has risks - we saw what happened in the Gulf of Mexico. Hope they've learned from those mistakes.
Smart move by India to boost domestic production amid global supply uncertainties. The 600 MMTOE target is ambitious but achievable with the right tech investments. This will also strengthen India's position in international energy negotiations. Well-timed announcement.
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