New Delhi: Amid shifting geopolitics and mounting oil sourcing pressures, India is preparing a three-pronged energy security strategy that includes launching ‘Samudra Manthan’-a national deepwater exploration mission-augmenting strategic reserves by 6 MMT to enable a 90-day buffer, and fast-tracking efforts to position the country as a global refining hub, ET has learnt.
ET has learnt that Cabinet notes to operationalise these proposals are under preparation, with approvals targeted in the May-June window.
The energy security mission is anchored on four key pillars: boosting exploration and production, improving ease of doing business, strengthening refining and petrochemical capacity, and augmenting reserves.
On reserves, the Ministry of Petroleum and Natural Gas is expected to seek Cabinet approval by June 30 to create an additional 6 MMT buffer.
India currently holds about 5.33 MMT in strategic crude reserves (around 10 days of current import), while upcoming commercial-cum-SPRs at Chandikhol, Odisha, and Padur, Karnataka (11.83 MMT, or 20-25 days), along with refinery stocks of roughly 55 days of petroleum, oil and lubricants, together provide an overall reserve cover of about 80 days
The proposed 90-day strategic reserve plan-along with a 10-day strategic gas buffer for all existing and upcoming LNG terminals-is high on the policy agenda.
The next key objective on upping exploration and production of domestic Hydrocarbons is to be met through Mission ‘Samudra Manthan’- a National Deep Water Exploration Mission.
Samudra Manthan will aim at increasing exploratory drilling from 30 wells per year to at least 100 wells per year over a period of 5 years starting from 2026-27.
The Centre is weighing a move to shift petrochemicals to MoPNG by amending the Allocation of Business Rules by March 31, aiming to build India into a refining and petrochemicals hub, ET has learnt.
The goal is to raise refining capacity to 400 MMTPA by 2047 with stronger petrochemical integration. A third pillar is PSU consolidation to create global energy champions.
