The Indian state-owned oil and gas company Oil and Natural Gas Corporation (ONGC) aims to increase its crude oil production by 11% in FY 2024-2025 (April 2024-March 2025), and its gas production by 25% in FY 2025-2026, after the company’s recent offshore discoveries start producing. Crude oil production would rise from 19.5 Mt in FY 2022 to 19.9 Mt in FY 2023, 21.6 Mt in FY 2024 and 21.7 Mt in FY 2025. Gas production should rise from 20.9 bcm in FY 2022 to 21.1 bcm in FY 2023, 24.4 bcm in FY 2024 and reach 26.1 bcm by FY 2026.
This announcement constitutes a shift, as ONGC, India’s largest producer of oil and gas (63% of domestic oil production and 71% of gas production) reported a decline in output for over a decade. In addition, ONGC announced plans to invest INR 31,000 crore (US$4bn) in further exploring for fuel reserves over the next three fiscal years (a 50% increase in exploration expenditures compared to the previous three fiscal years).
India imported 54% of its oil needs and 56% of its gas needs in 2020. After coal (44%), oil represented 24% of the country’s total consumption in 2020, against 6% for natural gas. As of 2021, India's oil reserves are estimated at 4,530 mbl and its gas reserves at 1,372 bcm.