Oil India partners with TotalEnergies for offshore exploration in India

New Delhi: State-run Oil India Ltd (OIL) and French energy major TotalEnergies have joined hands for the exploration of deep and ultra-deepwater offshore basins in the country.

In a statement on Wednesday, Oil India said that the partnership would involve exploration in the ultra-deep water blocks in the Mahanadi and Krishna-Godavari Basin won by Oil India under the ninth round of bidding under the Open Acreage Licensing Policy (OALP), along with evaluation of opportunities under the ongoing tenth round and bids in the future. Mint earlier reported that Oil India is in talks with global exploration and production (E&P) majors, including TotalEnergies, to jointly explore hydrocarbon blocks in India.

"Oil India Ltd (OIL) and TotalEnergies inked a 'Technology Service Agreement' on 19th November 2025 in New Delhi to strengthen strategic collaboration for exploration activities in Deep and Ultra-deepwater Offshore frontiers of Indian sedimentary Basins, including the stratigraphic wells as mandated by the Govt. of India," it said. The agreement will help OIL to harness TotalEnergies’ expertise in the deep and ultra-deep water exploration value chain across OIL’s current and future offshore portfolio.

TotalEnergies would also provide support during stratigraphic or test well drilling initiatives in offshore Category II and III Basins.

Further, both companies would also partner in the appraisal programme of a gas find in the shallow offshore blocks in the Andaman Basin. The public sector entity has already announced the discovery of natural gas reserves off the Andaman Islands, a discovery considered crucial for India in its quest for energy security. In 2020, under the third round of auctions, Oil India had won two blocks in the Andaman basin, touted as an energy-rich region.

Aid to technology-driven analysis

Speaking to Mint, Ranjit Rath, chairman and managing director, OIL, said, "Securing collaboration with an IOC (international oil company) helps in enhanced technology-driven seismic 2D and 3D analysis and helps us in securing their global experience and expertise. Evaluation of offshore blocks is the key feature of this partnership. If there is a requirement for drilling in the future, then the IOC and Oil India would consider joining hands for drilling, as and when the risk is hedged. Further, stratigraphic wells are key to India's exploration plans, which would help us unlock further potential. This partnership would also play a key role there."

Experts said that as India eyes energy security and reducing import dependence for oil, policymakers, and exploration and production companies have been looking at deep and ultra-deep offshore exploration, and global collaborations are critical in this space, given the expertise of global players.

Gaurav Moda, partner and leader for energy at EY-Parthenon India, said, “Although deep and ultra-deepwater basins have the potential to meet India’s domestic needs, the technology required for exploration and production in these basins is niche. Global collaborations are valuable to extract such potential."

In February, the Maharatna company signed a memorandum of understanding with Petrobras, Brazil’s state-owned oil company, to collaborate on the exploration and production of hydrocarbon resources in India’s offshore regions.

Another tie-up

Another state-run E&P major, Oil & Natural Gas Corp Ltd (ONGC), has also tied up with UK-headquartered bp plc for offshore explorations and drilling of stratigraphic wells.

Under the OALP-IX round, Oil India bagged nine blocks, adding 51,000 sq. km. to its exploration portfolio. Three of the blocks--one each in Cambay, Mahanadi and Assam Shelf basins--were won in partnership with its public sector peer Oil and Natural Gas Corp. (ONGC), while another six were acquired on its own. Under OALP-X round, the Union government is eyeing the exploration of nearly 2.5 lakh sq km in new offshore and onshore areas under OALP-X.

In FY25, Oil India produced 3.46 million tonne (MT) of crude and natural gas, amounting to 3.25 MT of oil equivalent. This took its total hydrocarbon production to 6.71 MT of oil equivalent, the highest ever for the company. It aims to achieve oil and gas production of 10-12 MT of oil equivalent by the end of the decade.