India is set to launch new oil and gas licensing rounds as early as this week, according to Oil Minister Hardeep Puri. The move comes as the country, the world’s third-largest importer of crude oil, aims to increase its domestic hydrocarbon supply.
Puri also noted that energy is expected to be a key topic in discussions between U.S. President Donald Trump and Indian Prime Minister Narendra Modi, who are scheduled to meet later this week. “I would be surprised if energy sourcing does not come up during their talks,” Puri said, as reported by Reuters.
India’s demand for oil and gas is projected to keep growing, and the country is focused on boosting domestic production to meet consumption needs and reduce dependence on imports.
Currently, India imports over 80% of the crude oil it consumes each day, and the cost of energy imports has surged due to spikes in oil and natural gas prices since the 2022 energy crisis.
As a result, increasing domestic production has become a central goal for India. The state-owned Oil and Natural Gas Corporation Limited (ONGC) has partnered with BP to increase output from the country’s largest oilfield. BP has indicated that production at the Mumbai High offshore field could rise by 44% for oil and 89% for gas, ONGC reported last month.
India’s oil demand growth is outpacing that of China. According to the U.S. Energy Information Agency (EIA), India is expected to account for 25% of global oil demand growth this year. By 2025, India’s oil demand is forecast to increase by 330,000 barrels per day (bpd), while China’s growth is expected to be lower at 250,000 bpd.
In addition, India’s natural gas consumption is projected to double by 2040 and triple by 2050.
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