Oil India Limited (OIL) has reported the presence of natural gas in its third exploratory well, Vijayapuram-3, drilled in the Andaman shallow offshore block, marking another notable find in its ongoing exploration campaign.
The well is located about 15 km off the east coast of the Andaman Islands at a water depth of 355 meters in Offshore Andaman Block AN-OSHP-2018/1 under the Open Acreage Licensing Policy (OALP). With this development, OIL has now confirmed hydrocarbon presence in two out of three exploratory wells drilled so far.
Initial production testing at a depth of over 1,900 meters in the Eocene formation confirmed gas presence, with continuous flaring observed. The company reported that after perforation, immediate pressure build-up occurred and the well began producing gas. Further sampling is underway to assess gas composition, calorific value, and to conduct isotope studies to determine its origin.
“Further gas sampling is being undertaken to assess the composition & calorific value of gas and to carry out isotope studies to understand the genesis of the gas," the company has said
According to preliminary assessments, the results indicate a potential hydrocarbon system in the region, suggesting the presence of a source rock, migration pathway, or accumulation zone—an encouraging sign for future exploration planning.
Following the earlier discovery in Vijayapuram-2, OIL has already initiated an appraisal program. The company has completed reprocessing of existing 2D seismic data and the acquisition of an additional 600 sq. km of 3D seismic data, with further processing currently underway. Based on the interpretation of this dataset, appraisal drilling is planned.
“Given that this is the second reported presence of hydrocarbon during the ongoing exploration campaign in Andaman Shallow Offshore Block, we wish to keep our valued stakeholders informed," the company says.
The latest finding strengthens the momentum of Oil India’s offshore exploration efforts in the Andaman basin, positioning the region as a potentially significant frontier for future hydrocarbon development.
