Samudra Manthan to Cut India’s Oil, Gas Import Dependence

The Union Cabinet on Friday approved Samudra Manthan — the National Offshore Exploration Scheme — with an outlay of Rs 84,084 crore for implementation through the financial year 2030–31. Described as India’s most ambitious offshore exploration mission to date, the approval marks the culmination of a series of transformative reforms undertaken under the leadership of Prime Minister Narendra Modi to strengthen the hydrocarbon exploration and production sector.

Samudra Manthan builds on these reforms by translating policy into action and opening a new chapter in India’s pursuit of energy security and Atmanirbhar Bharat. Since 2014 the government has introduced structural changes to create a more enabling ecosystem for hydrocarbon exploration and production. More than 99 per cent of earlier “No-Go” areas have been removed, making over one million square kilometres of India’s Exclusive Economic Zone available for exploration for the first time.

India has transitioned from Production Sharing Contracts to Revenue Sharing Contracts, simplifying the fiscal framework, improving transparency and reducing administrative intervention. The Oilfields (Regulation and Development) Amendment Act, 2025 modernised the legal framework by providing contractual stability, recognising integrated petroleum operations, strengthening dispute-resolution mechanisms and establishing a contemporary regulatory architecture.

The Petroleum and Natural Gas Rules, 2025 operationalised these reforms by promoting ease of doing business, improving regulatory efficiency and streamlining the administration of petroleum leases. The government has also standardised the composition and mandate of the Empowered Committee of Secretaries across all contract regimes to ensure consistency and a level playing field for operators irrespective of when their contracts were signed.

In addition, the performance parameters of ONGC and Oil India have been reoriented to place greater emphasis on exploration activities, reinforcing the commitment to expanding India’s domestic hydrocarbon resource base.

The scheme is positioned as a comprehensive effort to convert policy reforms into tangible offshore capability, with the long-term objective of enhancing energy security and reducing reliance on imported oil and gas.