Highlights
- Oil India discovers natural gas in Vijayapuram-3 exploratory well
- Second hydrocarbon find in Andaman offshore block
- Discovery made 15 km off the east coast of Andaman Islands
- Initial testing confirms presence of a functioning hydrocarbon system
- Find could boost India’s domestic energy production
Major Boost for India’s Energy Exploration Efforts
New Delhi, June 6: State-owned Oil India Ltd has announced its second natural gas discovery in the Andaman offshore basin, strengthening prospects for future hydrocarbon production in the region and supporting India’s efforts to reduce dependence on energy imports.
The company informed stock exchanges that natural gas was encountered in the Vijayapuram-3 exploratory well located in the Andaman Shallow Offshore Block AN-OSHP-2018/1. The discovery marks another significant milestone in the company’s ongoing exploration campaign under the Open Acreage Licensing Policy (OALP).
Second Discovery Raises Exploration Hopes
The latest discovery follows an earlier hydrocarbon find in the same block, increasing confidence about the basin’s untapped energy potential.
According to Oil India, preliminary assessments indicate the presence of hydrocarbon accumulation, encouraging further exploration activities in the offshore region. The company believes the findings could contribute to identifying commercially viable reserves in the future.
Industry experts view the development as a positive step toward strengthening India’s domestic oil and gas resources.
Gas Found During Production Testing
The Vijayapuram-3 well is situated approximately 15 kilometres off the east coast of the Andaman Islands at a water depth of around 355 metres.
During initial production testing in the Eocene formation at a depth exceeding 1,900 metres, continuous gas flaring confirmed the presence of natural gas. The company reported that the well exhibited immediate pressure build-up after perforation and began producing gas, indicating a functioning hydrocarbon system beneath the seabed.
The discovery provides valuable geological data that could guide future drilling and appraisal activities in the basin.
Supporting India’s Energy Security Goals
India remains one of the world’s largest importers of crude oil and natural gas. The government has been actively encouraging exploration and production activities to increase domestic output and improve energy security.
Discoveries such as Vijayapuram-3 are considered important as they may help reduce import dependence while supporting long-term economic growth and industrial demand.
Further Evaluation Underway
Oil India stated that additional studies will be conducted to analyse the quality, quantity, and commercial viability of the discovered gas reserves. Detailed appraisal work is expected to determine whether the find can be developed into a commercially productive asset.
The latest discovery reinforces the growing importance of the Andaman offshore basin and highlights its potential role in India’s future energy landscape.









