The Ministry of Petroleum and Natural Gas inked a tripartite Memorandum of Understanding with the state governments of Nagaland and Assam to boost domestic oil and gas exploration and production. Assam holds about 22% of India’s crude oil reserves and 15% of its natural gas reserves, while Nagaland has significant hydrocarbon potential in the Naga-Schuppen Belt of the Assam-Arakan Basin. This collaboration aims to enhance exploration and production activities in the North East.
The MoU, signed in the presence of Home Minister Amit Shah, establishes a cooperative framework among the concerned Governments. It offers stability to investors, ensures operational continuity, promotes regulatory alignment, and fosters an environment conducive to long-term investment decisions. This initiative is crucial for the energy sector’s growth in the region.
Minister Hardeep Singh Puri highlighted the historical significance of the North East in India’s petroleum industry and its potential to drive the nation’s energy future. He expressed optimism about Nagaland’s resumption of oil and gas production after 31 years. The signing of this MoU under Prime Minister Narendra Modi’s leadership marks a significant step towards boosting domestic hydrocarbon exploration and production.
Acknowledging the cooperation of Nagaland Chief Minister Neiphiu Rio and Assam Chief Minister Himanta Biswa, Minister Puri emphasized the positive impact of restarting mineral oil operations. This move is expected to create job opportunities, promote local businesses, enhance infrastructure, and contribute to the economic development of the North East region. The collaboration sets the stage for a new era of growth and prosperity in the area.
