Page 38 - Policy Economic Report - September 2025

POLICY AND ECONOMIC REPORT
OIL & GAS MARKET

'Ocean of opportunities': India confirms natural gas discovery in Andaman basin, 87% methane
detected

India has confirmed the presence of natural gas in the Andaman basin, marking a milestone in the
country’s deepwater exploration ambitions. Union Petroleum Minister Hardeep Singh Puri announced the
discovery, calling it 'an ocean of energy opportunities.'

The gas was found in the Sri Vijayapuram-2 well, located about 17 km from the Andaman coastline at a
water depth of 295 metres and drilled to a target depth of 2,650 metres.

Gas samples show high methane

According to Puri, initial testing between depths of 2,212–2,250 metres established the presence of
natural gas with intermittent flaring. Samples transported to Kakinada for analysis showed 87 percent
methane content, confirming the quality of hydrocarbons.

“The size of the gas pool and its commercial viability will be verified in the coming months,” Puri noted,
but stressed that the discovery validates India’s long-held belief that the Andaman basin is rich in natural
gas, in line with discoveries in Myanmar and Indonesia along the same geological belt.

The discovery comes on the back of Prime Minister Narendra Modi’s announcement of the National Deep
Water Exploration Mission, termed 'Samudra Manthan,' during his Independence Day address.

The mission, to be executed in mission mode, aims to expand oil and gas exploration in offshore basins
and accelerate India’s push for energy self-reliance.

Puri underlined that the discovery will strengthen India’s ability to partner with global deepwater
exploration leaders like Petrobras, BP India, Shell, and ExxonMobil. “This occurrence of natural gas will
help us take forward our exploration ambitions and is a significant milestone in our journey through Amrit
Kaal,” he said.

Ministry of Power Initiates Stakeholder Survey to Build India Energy Stack (IES), a Digital Backbone for
Power Sector

India’s power sector is undergoing a paradigm shift driven by grid digitalization, renewable energy
integration, decentralized power generation, and consumer-centric reforms. To support this
transformation, the Ministry of Power has conceptualized the India Energy Stack (IES), a Digital Public
Infrastructure (DPI) for the power sector.

The IES aims to enable a connected, intelligent, and interoperable energy ecosystem. As part of this
initiative, a Utility Intelligence Platform will be developed using standardized and open APIs and
protocols, in collaboration with selected power distribution utilities. This platform will help unlock data
from various IT/OT systems to drive innovation and efficiency across the sector.

To ensure the IES and its associated solutions are comprehensive and future-ready, the Ministry is
conducting a Stakeholder Mapping Survey. The survey seeks to gather insights on:

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