Oil and Natural Gas Corporation Limited and Reliance Industries Limited have entered into a landmark strategic agreement on 27 January 2026 to enable large-scale resource sharing for deepwater offshore exploration and production activities along India’s East Coast. The collaboration will primarily cover complex offshore regions such as the Krishna Godavari Basin and the Andaman offshore area, marking a significant shift towards cost-efficient, faster and more sustainable hydrocarbon development in India.
The agreement between Oil and Natural Gas Corporation Limited and Reliance Industries Limited is aligned with the Oilfields (Regulation and Development) Amendment Act, 2025, a forward-looking reform introduced by the Ministry of Petroleum and Natural Gas. The amended framework enables upstream operators to share critical infrastructure and facilities, both onshore and offshore, to accelerate oil and gas production while improving asset efficiency.
Under this enabling initiative led by Ministry of Petroleum and Natural Gas, ONGC and Reliance will collaborate on sharing key operational resources required for deepwater offshore activities. These include onshore and offshore processing facilities, drilling rigs, marine support vessels such as MSVs, PSVs and tugs, power infrastructure, pipelines, logging services and other specialised well services essential for deepwater projects.
The collaboration is expected to deliver tangible benefits by reducing the high capital and operating costs typically associated with deepwater exploration. Shared use of high-value rigs, vessels, logistics networks and subsea equipment is likely to result in meaningful cost optimisation while minimising duplication of assets across operators. Improved utilisation of existing infrastructure will also help reduce idle capacity and enhance overall operational efficiency in offshore fields.
Another key advantage of the agreement is faster project execution. Deepwater services are limited and often face long mobilisation timelines. By pooling resources, both companies can improve access to specialised equipment and services, enabling quicker deployment and smoother execution of exploration and production activities. The partnership also strengthens operational resilience through shared emergency response systems, safety protocols and training capabilities, enhancing preparedness in high-risk offshore environments.