About the Scheme

• Nodal Ministry: Ministry of Petroleum & Natural Gas (MoPNG).
• Type: Central Sector Scheme (100% Centrally funded).
• Total Outlay: ₹84,084 crore.
• Implementation Period: Up to FY 2030–31.
• Objective: To unlock India’s offshore hydrocarbon potential by promoting exploration, increasing domestic production of oil and natural gas, reducing import dependence, and building a globally competitive offshore energy ecosystem.

Key Features

• Deepwater Drilling Support: ₹43,200 crore allocated to support deepwater and ultra-deepwater exploratory drilling, with financial assistance of up to 50% of eligible drilling costs, subject to a ceiling of ₹650–675 crore per well.
• Seismic Data Acquisition: ₹28,534 crore earmarked for acquisition, processing and interpretation of 2D & 3D seismic data in frontier sedimentary basins and previously inaccessible offshore areas.
• Offshore Infrastructure: ₹10,000 crore allocated for developing common offshore production and evacuation infrastructure to facilitate faster commercialization of discoveries.
• Manufacturing Ecosystem: ₹2,000 crore provided for establishing Integrated Oil & Gas Manufacturing and Services Zones to promote indigenous manufacturing under Make in India.
• Digital Governance & Capacity Building: Focuses on digital programme management, technology adoption, capacity building, stakeholder engagement, international collaboration, and strengthening the National Data Repository (NDR).

Significance

• Expected to add over 600 Million Metric Tons of Oil Equivalent (MMTOE) to India’s hydrocarbon reserves.
• Enhances domestic production of crude oil and natural gas, thereby improving energy security.
• Reduces exploration risks and encourages investment in Krishna-Godavari (KG), Cauvery, Mahanadi and Andaman offshore basins.
• Promotes Atmanirbhar Bharat by strengthening indigenous offshore technology, manufacturing and service capabilities.
• Generates employment and boosts investment across the upstream oil and gas value chain.