New Delhi, Dec 21 (NationPress) The Union Minister for Petroleum and Natural Gas, Hardeep Singh Puri, announced on Sunday that the recently notified Petroleum and Natural Gas Rules 2025 are set to bring about a significant transformation in India's efforts to enhance and increase domestic hydrocarbon production, thereby accelerating the nation’s journey towards energy security.

The minister pointed to the case of ONGC’s commercial oil discovery at Ashok Nagar in West Bengal, made in 2018, which has yet to commence production due to disagreements over the “value of the lease” for stamp duty purposes between the state government and ONGC.

However, the recently passed Oilfields (Regulation & Development) Amendment Act, 2025 has eliminated uncertainties regarding the definition of the “value of the lease.” The new regulations also impose a maximum timeframe for approval, mandating decisions on petroleum lease applications within 180 days. This facilitates the commencement of production at ONGC’s oilfield in Ashok Nagar, located 50 km from Kolkata.

Instead of requiring companies to manage multiple licenses at various stages, the new rules allow a single petroleum lease to cover exploration, development, production, and other activities, including renewable energy projects, the minister added.

ONGC has already invested over Rs 1,000 crore in exploration and appraisal at the Ashok Nagar oilfield, yet production has not yet begun, resulting in lost royalty and revenue for West Bengal. This situation has adversely affected both parties due to the prior regulatory ambiguities.

According to the minister, production from ONGC's Ashok Nagar oilfield is anticipated to commence within the next few weeks, clearing the path for a long-stalled project.

Previously, the Petroleum Minister indicated that India’s energy landscape is evolving, with seven sedimentary basins currently under advanced technology studies for oil and gas exploration throughout the country.

“Mission Anveshan, one of the largest seismic mapping initiatives in India’s oil and gas history, has been initiated under Prime Minister Narendra Modi’s guidance. The Rs 792 crore program launched in October 2024 aims for 20,000 ground line kilometres (GLK) of seismic surveys, with over 8,000 GLK already completed,” he stated.

“From the sands of Rajasthan to the depths of the KG Basin, Bharat is charting its own energy future,” the minister emphasized.

Additionally, a 1 million square km offshore area is now accessible for oilfield exploration, with 99 percent of 'No-Go' zones cleared, he noted.

The oil and gas blocks available through the Open Acreage Licensing Programme (OALP) have attracted interest from both global and domestic energy companies, with Round X anticipated to set new standards for participation and investment.

He pointed out that “25 blocks have been designated under OALP-X; 154 exploration blocks are currently active; 14 new oil and gas discoveries have been made; and ONGC is producing 34,000 BOPD oil and 3 MMSCMD gas.”