India Targets $40bn of Untapped Oil and Gas

India aims to attract $25bn of investment in natural gas and crude oil in the next few years with the help of sweeping reforms to its exploration and production rules announced last week.

Dharmendra Pradhan, minister of state for petroleum and natural gas, said the new hydrocarbon exploration and licensing policy (Help) and a liberalized gas price regime would help reduce India’s heavy dependence on imported energy over the next 10-15 years.

Basing his calculations on a crude oil price of $45 a barrel, he said the principal aim was to increase domestic gas production at a time of rising demand and falling output. “Forty billion dollars of hydrocarbons will be unlocked for production through this policy reform,” he said in an interview. “To realise this amount we are expecting investment of more than $25bn in the next two to three years.”

CNBC

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Craig Erlam

Craig Erlam

Senior Market Analyst - UK & EMEA at OANDA
Based in London, Craig Erlam joined OANDA in 2015 as a Market Analyst. With many years of experience as a financial market analyst and trader, he focuses on both fundamental and technical analysis while producing macroeconomic commentary. His views have been published in the Financial Times, Reuters, The Telegraph and the International Business Times, and he also appears as a regular guest commentator on the BBC, Bloomberg TV, FOX Business and BNN. Craig holds a full membership to the Society of Technical Analysts and is recognised as a Certified Financial Technician by the International Federation of Technical Analysts.
Craig Erlam