Page 43 - Policy Economic Report - July 2025

POLICY AND ECONOMIC REPORT
OIL & GAS MARKET

proactive and balanced approach, which has made the country a net stabilising force in global energy
markets.

Shri Puri highlighted a series of transformative policy reforms introduced over the last decade to make
India’s upstream sector globally competitive. Among the major changes, he mentioned the reimagined
exploration framework under the Oilfields Regulation and Development Act (ORDA), characterised by a
co-designed approach, a single lease and approval mechanism, transparent operational rules, and the
introduction of a “no-sit” clause to eliminate inactive acreage. These measures, integrated with the
revised Petroleum and Natural Gas Rules (PNG Rules 2025) and the Model Revenue Sharing Contracts
(MRSC), aim to simplify business operations and attract private investment. The Minister acknowledged
that the Hydrocarbon Exploration and Licensing Policy (HELP) and amendments to the ORD Act have
opened nearly 1 million square kilometres of previously inaccessible “No-Go” areas to exploration,
thereby unlocking significant resource potential.

Reaffirming India’s ambitions in offshore energy, Shri Puri spoke of the significant hydrocarbon potential
of the Andaman Basin, drawing comparisons with the prolific Guyana basin. He expressed strong
optimism, stating, “I am positive we will find several fields of the size of Guyana, particularly in the
Andaman Sea.” This confidence is rooted in India’s expanding access to high-quality geoscientific data,
robust regulatory support, and policy incentives aimed at de-risking exploration investments. He
underscored India’s goal of becoming the next credible frontier for deepwater oil and gas exploration by
leveraging scale, demand continuity, and global partnerships.

The Minister elaborated on India’s focus on enhancing subsurface intelligence through the expansion and
modernisation of the country’s seismic database. He highlighted the government’s thrust on conducting
extensive seismic surveys, adopting advanced technologies, and democratising data access through the
National Data Repository. These efforts, he said, are central to ensuring greater investor confidence and
fostering transparent, data-driven decision-making in exploration.

Responding to concerns around long-term supply security in light of ongoing sanctions on Iran and
Venezuela, Shri Puri questioned the permanence of such restrictions and drew attention to the emergence
of new sources of oil from countries like Brazil, Guyana, and Canada. He asserted that the global oil market
is gradually becoming more diversified and resilient, and reassured stakeholders that India is well-
prepared to manage any volatility or disruptions that may arise.

On the domestic front, Shri Puri underlined the crucial role played by State governments in facilitating
energy development projects. He called for mutual accountability and stronger Centre-State cooperation,
adding that States that enable faster energy infrastructure should be celebrated as models of good
governance.

The second edition of Urja Varta 2025, India’s premier upstream oil and gas conclave, was held at Bharat
Mandapam, New Delhi. Organised by the DGH (DGH) under the patronage of the MoPNG (MoPNG), the
event brought together over 700 participants including Union and State Ministers, senior officials, global
industry leaders, domain experts, and media professionals. With the theme “Collaborate, Innovate,

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