India’s mining and natural resources major Vedanta has reaffirmed its ambitious target of producing 500,000 barrels of oil equivalent per day (boepd), as it looks to play a bigger role in strengthening India’s energy security. The announcement was made by the company on July 11.
India currently imports nearly 90% of its oil and gas requirements, making the country vulnerable to global supply disruptions and volatile energy prices. Vedanta believes increasing domestic production can reduce this dependence and improve the country’s long-term energy stability.
According to the company, India has hydrocarbon resources equivalent to nearly 300 billion barrels. Vedanta Oil & Gas, through its Cairn business, plans to unlock these reserves by using advanced technology, faster exploration methods and enhanced oil recovery techniques.
What is Vedanta’s production plan?
Vedanta said its focus is on expanding domestic oil and gas production by making better use of India’s untapped hydrocarbon reserves. The company believes modern exploration technologies and improved recovery methods can help increase output significantly.
Vedanta Chairman Anil Agarwal said energy self-reliance is a strategic economic necessity for India. He said every barrel of oil and gas produced within the country strengthens the economy, reduces import dependence and improves national resilience. He also highlighted India’s natural resources, technological talent and entrepreneurial capabilities as key strengths.
Why is India focusing on domestic oil and gas production?
Media reports suggest that large parts of India’s hydrocarbon reserves remain underexplored. Several promising sedimentary basins are yet to be fully explored, creating significant opportunities for fresh discoveries and higher domestic production.
The government has also opened several previously restricted deepwater and ultra-deepwater exploration blocks under the National Deepwater Exploration Mission, also known as Samudra Manthan. These reforms are expected to create investment opportunities worth nearly $500 billion in India’s energy sector by the end of this decade.
How will Vedanta contribute to India’s energy security?
Vedanta said achieving long-term energy self-reliance will require continued collaboration between industry, entrepreneurs and technology innovators. The company currently operates 44 onshore and offshore oil and gas blocks spread across nearly 47,000 square kilometres in Rajasthan, Gujarat, Assam and Andhra Pradesh.
