As you may already know, India is very much dependent upon the imports of crude oil from Middle Eastern countries and Russia. Right? That’s because there aren’t major crude oil reserves in the Indian subcontinent, or at least, we haven’t found them yet. But still, you’d be surprised to know that there are some states that produce crude oil in the country, like Rajasthan, Gujarat and others. And today’s post is dedicated to just that because here we will be taking a good look at the top 5 highest crude oil-producing states in India as of 2024. Alright, here we go now.
1. Rajasthan
Leading the pack in crude oil production in India is none other than Rajasthan. This state holds the most famous oil fields, Mangala, Bhagyam, and Aishwariya, operated by experts with Cairn India, which is a subsidiary of Vedanta Limited. Located in the Barmer district, these fields form the core of the reason why Rajasthan heads the list of oil-producing states in the country. In fact, for the financial year 2018-19, Rajasthan produced 7,667 thousand metric tonnes of crude oil. In an interesting proportion, most of the oil produced here is from the huge onshore fields, which are amongst the biggest in India.
2. Gujarat
Next in line is the state of Gujarat, a huge producer in terms of both crude oil and natural gas production. Gujarat is home to the Jamnagar Refinery, the world’s largest oil refinery complex, owned by Reliance Industries Limited. To break it down, this state’s role cannot be understated, making a contribution of 4,626 thousand metric tons of crude oil in the fiscal year 2018-19. Here, the strategic location and well-developed facilities ensure a continuous inflow of petrol products, in tune with the national demand.
3. Assam
Assam is one of the pioneers in India’s oil production story, boasting a rich history that dates back to the 19th century with the discovery of oil in Digboi. Fast forward to 2018-19, Assam produced 4,309 thousand metric tonnes of crude oil in one fiscal year. To be precise, upper Assam is particularly rich in petroleum. There are also more refineries, which strengthen the grade of oil of Assam by supporting both domestic consumption and export. Most of these refineries in the state are relatively new players and very vital to India’s energy security.
4. Andhra Pradesh
Andhra Pradesh holds a noteworthy share in the production of crude oil, which largely comes from its underwater oil fields, where the Krishna-Godavari Basin is located in the Bay of Bengal. The same basin is one of India’s most important energy mineral reserves and resources. In 2018-19, Andhra Pradesh produced 296 thousand metric tonnes of crude oil. Currently, it is developing refining stations and petrochemical plants for further developing its oil sector, and the coast and the resource abundance have put Andhra Pradesh ahead as a critical input state for Indian needs of petroleum.
5. Tamil Nadu
Rounding out the list is Tamil Nadu, with its substantial contributions to India’s crude oil production from the Cauvery River basin. The state of Tamil Nadu is very active in both onshore and offshore exploration and production activities. During the last fiscal year 2018-19, Tamil Nadu has produced 395 thousand metric tonnes of crude oil. The state’s oil industry is supported by refineries and petrochemical reactors which are very significant for the process of refining and manufacturing petroleum products.
FAQs
Q1. How much crude oil does India produce annually?
Ans: India produced about 29.2 MMT of crude oil in 2023, and this figure is expected to rise in the coming years.
Q2. What are the primary uses of crude oil produced in India?
Ans: See, crude oil is retired and converted to petrol, diesel, jet fuel, and petrochemicals, which are critical factors in energy for transportation, industry, and household uses.
Q3. Which companies are major players in India’s crude oil production?
Ans: The leading players include Oil and Natural Gas Corporation, Oil India Limited, and Cairn India, which operate both onshore and offshore fields.
Q4. What is the significance of the Krishna-Godavari Basin in crude oil production?
Ans: It is considered important for hydrocarbon exploration because recent deepwater discoveries in the Krishna-Godavari Basin may yield up to 45,000 barrels a day.
Q5. What are the import and export dynamics of crude oil in India?
Ans: India meets around 87.9% of its crude oil requirement through imports. However, imports are not only of crude oil, the country is also a net exporter of refined petroleum products.
