Oil India Ltd (OIL) reported the discovery of natural gas reserves off the Andaman Islands, marking the first confirmed occurrence of hydrocarbons in the ongoing exploration campaign in the region. The state-owned company did not provide an estimate of the size of the find but described it as a significant step toward understanding the hydrocarbon potential of the Andaman basin.
Discovery Details
The discovery was made in the second exploratory well, Vijayapuram-2, drilled under the Offshore Andaman Block AN-OSHP-2018/1, which OIL secured through the Open Acreage Licensing Policy (OALP). According to the company, intermittent inflow of gas during initial production testing confirmed the presence of natural gas. Preliminary analysis of collected gas samples revealed a composition of 87% methane. OIL is now conducting further gas isotope studies to understand the genesis of the gas and its potential commercial viability.
Strategic Significance for India’s Energy Security
The discovery aligns with India’s strategic objective to reduce its 88% dependence on imported oil and 50% reliance on overseas gas. OIL, along with Oil and Natural Gas Corporation (ONGC), has been exploring hydrocarbon reserves in the Andaman Sea. Their goal is to identify commercially viable sources that can contribute to domestic energy security.
OIL described the find as a leading indicator of hydrocarbon presence. It suggests a potential source, migration pathway, or accumulation that will guide future exploration and drilling strategies. The company is also undertaking additional testing of higher prospects in the block to further evaluate the reported occurrence of gas.
Location and Technical Details
The discovery was made approximately 9.20 nautical miles (17 km) from the east coast of the Andaman Islands. It was located at a water depth of 295 metres, with a target drilling depth of 2,650 metres. Initial production testing between depths of 2,212–2,250 metres confirmed intermittent gas flaring, validating the presence of hydrocarbons in the basin.
Government Perspective: A Potential Game-Changer
Oil Minister Hardeep Singh Puri highlighted the significance of the discovery. He noted that it confirms long-held expectations about the hydrocarbon potential of the Andaman basin, a region rich in natural gas from Myanmar in the north to Indonesia in the south. Authorities will assess the size and commercial viability of the gas pool in the coming months. Meanwhile, experts already consider the finding a major milestone for India’s domestic energy exploration.
Next Steps: Exploration and Evaluation
OIL and ONGC plan to expand exploration and testing in the Andaman Shallow Offshore Block.The discovery provides a strong technical basis for future drilling. It also strengthens the vision of tapping the region’s hydrocarbon potential, potentially unlocking a new frontier in India’s energy supply. As reported by msn.com, this structure ensures clarity, highlights key facts, and emphasizes the strategic importance of the discovery.