Govt tests deep-sea technology as India eyes long

MC EXCLUSIVE Govt tests deep-sea technology as India eyes long-term offshore energy push

India’s Samudra Manthan deep-sea mission is still in the technology-testing phase, with state-run public sector undertakings working to prove whether complex deep-sea exploration can be carried out at scale, a senior government official told Moneycontrol.

“Under the Samudra Manthan mission, deep-sea exploration is a very complicated process and the technology is still being developed and tested. The public sector companies are currently working on the technology and trying to establish whether it can be done successfully. The technological challenge is significant,” the official said.

The source said state-run PSUs are currently testing the underlying technology for deep-sea exploration, with commercial-scale operations still some way off. “Once that process progresses, greater clarity will emerge on the companies and the activities involved,” the source added.

The Union Cabinet in July approved a total outlay of Rs 84,084 crore for Samudra Manthan (National Offshore Exploration Scheme), covering the preparatory year FY27 and implementation from FY28 to FY31.

The scheme includes large-scale acquisition, processing and interpretation of high-quality seismic data, accelerated deepwater and ultra-deepwater exploratory drilling, scientific drilling in frontier basins, development of common offshore production and evacuation infrastructure, and establishment of an integrated Oil & Gas Manufacturing and Services Zone.

“At this stage, the focus is on testing and developing the technology. The process is still at an early stage, and it will take time before the details of which companies will undertake the various activities become clear. Samudra Manthan is a very complicated process,” the official said, adding the technology required for deep-sea exploration is still being developed, and the work is currently focused on establishing the technological capability.

State-run Oil and Natural Gas Corp has lined up an investment of Rs 1 lakh crore for deepwater exploration over the next five years and plans to drill over 87 deepwater wells as India accelerates deepwater exploration under the government’s Samudra Manthan programme, the company’s Chairman and CEO Arun Kumar Singh said on August 31.

Analysts say that given the early-stage nature of exploration, commercial production remains a long-term prospect.

The typical lifecycle of a deepwater project, from discovery to first gas, includes multiple phases including confirmation drilling, appraisal, reservoir evaluation, development planning, regulatory approvals, and installation of production infrastructure,” Sourav Mitra, partner- oil & gas, Grant Thornton Bharat had said.

The official noted that companies are trying to develop and demonstrate the technology, so it is still at a stage where the technological aspects are being worked out.

Mitra added that in complex ultra-deepwater environments such as Andaman, this process can take anywhere between six and 10 years after a confirmed commercial discovery.

Infrastructure challenges, including subsea systems, pipelines, and evacuation routes to mainland markets, further influence timelines.

It can take up to five years for gas to come to the mainland for consumption, as companies would first need to set up liquefaction facilities, said an analyst who did not wish to be identified.

India imports 85 percent of its oil and half of its gas needs. The Iran war has risked the country’s energy supplies with the disruption of the Strait of Hormuz, affecting 50 percent of oil and 90 percent of gas imports.

Going forward, the government’s focus would be on expanding upstream projects to mitigate supply disruptions caused by escalating geopolitical tensions, another senior official has told Moneycontrol.

“Upstream and downstream co-exists but yes, downstream is related to consumption which is autonomous in nature. Upstream is where you need work to be done. So obviously, that would require more policy bandwidth and effort,” the second official had said.

India must enable uniform licensing, pricing freedom, and private participation, alongside deploying advanced drilling and hydraulic fracturing technologies, analysts said.

Mahanadi, Cauvery, and Bengal basins offer promising exploration opportunities, particularly in offshore and deepwater settings.

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