India ranks as the world’s third largest crude oil importer after the US and China. India currently depends on foreign nations over 85% of its oil needs. This heavy dependence puts pressure on the economy, especially during global oil price fluctuations. But this could soon change. Union Petroleum Minister Hardeep Singh Puri has hinted at a major breakthrough in crude oil exploration in the Andaman Sea, comparing it to Guyana’s 11.6 billion-barrel and calling it ‘Transformational’ for India’s energy sector.
India Close to Crude Oil Jackpot in Andaman
If successful, this discovery would significantly reduce India’s oil import bill and enhance its energy independence. Exploration is already underway, led by ONGC and oil India, in the Andaman and Nicobar Island. Union minister Puri stated that a discovering major crude oil could boost India’s economy from $3.7 trillion to $20 trillion in the future.
Currently, India produces fuel in regions such as Assam, Gujarat, Rajasthan, Mumbai High and Krishna Godavari Basin. Strategic petroleum reserves are located in Visakhapatnam, Mangalore and Padur with new storage proposed in Odisha and Rajasthan.