NEW DELHI (Agencies): India is preparing to launch its tenth bidding round for oil and gas blocks in August or September, according to the Directorate General of Hydrocarbons (DGH). This round will feature 25 blocks across 13 sedimentary basins, crucial for exploration and production activities. The areas on offer include land blocks covering 16,871 square kilometers, shallow water blocks, and ultra-deepwater blocks extending over 12,373 square kilometers.
The initiative aims to attract significant investment and boost domestic oil and gas production. In the previous ninth bidding round under the Hydrocarbon Exploration and Licensing Policy (HELP), the government extended the deadline multiple times to provide more detailed data, hoping to improve the lukewarm response from earlier rounds. Some of the tepid responses from foreign firms were linked to concerns about indemnity and compensation issues, which India is addressing.
The ninth bidding round, initially set to close on February 29, was extended to May 15, then to July 15, and now until August 31. The Indian government is also working on reducing approval times to enhance domestic production and decrease reliance on imports.
For India, the world’s second-largest oil importer, foreign investment in its oil and gas industry is critical. The country’s crude oil demand is growing despite higher prices. According to the IEA, India is set to become the biggest driver of oil demand growth globally between now and 2030, currently importing 4.6 million barrels per day.