Full Breakdown
India Discovers Natural Gas Reserves in the Andaman Basin
9/27/2025, 8:59:17 PM
Significant Discovery in the Andaman Sea
Oil India Limited (OIL) has confirmed the discovery of natural gas in its second exploratory well, Sri Vijayapuram-2, located 17 kilometers off the east coast of the Andaman Islands. The well was drilled to a target depth of 2,650 meters in the Offshore Andaman Block AN-OSHP-2018/1, awarded under the Open Acreage Licensing Policy (OALP). Initial production testing revealed the presence of natural gas, with samples indicating a composition of 87% methane, suggesting high-quality reserves.
Implications for Energy Security
Union Petroleum Minister Hardeep Singh Puri heralded this discovery as a pivotal moment for India's energy landscape, describing it as "an ocean of energy opportunities." The find is expected to bolster India's energy security and reduce its reliance on imported natural gas, which constituted approximately 44% of the country's consumption in the 2023–24 financial year. The discovery aligns with India's broader strategy to enhance self-reliance in energy production, particularly in light of the National Deep Water Exploration Mission, dubbed "Samudra Manthan," announced by Prime Minister Narendra Modi.
Ongoing Exploration and Future Prospects
While the size and commercial viability of the gas reserves are yet to be determined, the discovery marks the first confirmed occurrence of hydrocarbons in the Andaman basin during the current exploration campaign. OIL is conducting further testing and gas isotope studies to understand the origin of the gas and its potential for future exploration. The Minister emphasized that this find validates long-held beliefs regarding the hydrocarbon richness of the Andaman basin, which is thought to extend along a geological belt from Myanmar to Indonesia.
Criticism & Opposition
Despite the optimism surrounding the discovery, some experts caution that the commercial viability of the reserves remains uncertain. The verification process for the size of the gas pool and its economic feasibility will take time, and there are concerns about the environmental impact of increased exploration activities in the region.
Official Statements & Responses
Hardeep Singh Puri stated, “This occurrence of natural gas will help advance India’s exploration ambitions in partnership with global deepwater leaders such as BP, Shell, and ExxonMobil.” He further noted that the discovery is a significant milestone in India's journey toward energy independence during the "Amrit Kaal" period, which aims for the nation to become a developed country by 2047.
Verbatim Quotes
- “This is a major step in confirming our long-held belief that the Andaman basin is rich in natural gas, in line with discoveries in the wider region stretching from Myanmar in the north to Indonesia in the south,” — Hardeep Singh Puri, Union Petroleum Minister
- “The size of the gas pool and its commercial viability will be verified in the coming months,” — Hardeep Singh Puri, Union Petroleum Minister
- “This occurrence of natural gas will be a significant milestone in our journey through Amrit Kaal,” — Hardeep Singh Puri, Union Petroleum Minister
The discovery of natural gas in the Andaman basin represents a significant advancement in India's energy exploration efforts, with potential implications for the country's energy independence and economic growth.
