India’s Andaman Sea Oil Exploration: ONGC’s Record Drilling Could Unlock Guyana-Like Reserves

India’s Andaman Sea Oil Exploration: A Potential Game-Changer
The Indian government, under the leadership of Union Petroleum Minister Hardeep Puri, is optimistic about uncovering a transformational oil reserve in the Andaman Sea. Drawing parallels with Guyana’s oil boom—where Hess Corporation and CNOOC made one of the biggest discoveries—Puri believes India is on the verge of an energy breakthrough.

Key Highlights from Hardeep Puri’s Revelations:
Policy Shift Post-2016: India transitioned from a production-sharing model to a revenue-sharing arrangement, encouraging more private and public investment in exploration.
Open Acreage Licensing Policy (OALP): Over 1 million square kilometers of sedimentary basins have been unlocked, attracting significant bids.
Record Drilling by ONGC: In FY24, ONGC drilled 541 wells, the highest in 34 years, signaling aggressive exploration efforts.
Upcoming Investments: Nearly 80% of bids in the next OALP round are expected in these newly opened basins.
Regulatory Clarity: The Oil Fields Regulation and Development Amendment Bill aims to eliminate overlaps and provide a stable framework for future exploration.

Why This Matters for India?
Reduced Oil Import Dependency: A major discovery could significantly cut India’s $100+ billion annual crude import bill.
Economic Growth Boost: New oil reserves could attract global investments, create jobs, and strengthen India’s energy security.
Strategic Energy Shift: With global oil dynamics changing, India’s domestic reserves could play a crucial role in long-term sustainability.


Sample Questions & Answers for Competitive Exams (SSC, PSC, UPSC)
Q1. Which Indian minister recently announced a potential major oil discovery in the Andaman Sea?
Ans: Hardeep Singh Puri, Union Minister for Petroleum and Natural Gas.
Q2. Which country’s oil discovery is being compared to India’s Andaman Sea exploration?
Ans: Guyana, where Hess Corporation and CNOOC made significant oil finds.
Q3. What was ONGC’s drilling record in FY24?
Ans: ONGC drilled 541 wells, the highest in 34 years.
Q4. What policy replaced the production-sharing model in India’s oil exploration?
Ans: The revenue-sharing arrangement was introduced post-2016.
Q5. How much of India’s sedimentary basin has been opened under OALP?
Ans: 1 million square kilometers out of 3.5 million square kilometers.