India Bolsters Energy Security with Ambitious CBM Production Goals

India plans to boost Coal Bed Methane (CBM) production to 5 MMSCMD by 2027-28, aiming to enhance energy security and reduce gas imports. Supported by policy reforms and technological advances, the CBM sector holds lucrative opportunities. New investments and drilling technologies are key to this growth.

The Indian government has outlined an ambitious plan to ramp up Coal Bed Methane (CBM) production to 5 million metric standard cubic meters per day (MMSCMD) by the fiscal year 2027-28, according to the Ministry of Petroleum and Natural Gas.

This move is a significant step toward strengthening domestic energy security and curbing reliance on imported natural gas. The initiative is underpinned by robust policy frameworks, technological advancements, and a surge in investments, making the CBM sector an attractive prospect for energy companies globally.

With significant policy reforms and the implementation of advanced drilling technologies, India is poised to significantly increase CBM production. This development is part of a broader strategy to reduce dependency on traditional fossil fuels, positioning CBM as a pivotal energy resource.

Efforts to expand CBM exploration have been bolstered by two special bid rounds conducted in 2021 and 2022, adding seven new CBM blocks to the nation's portfolio. Consequently, India now boasts a total of 15 blocks.

A committed investment of USD 16.64 million underscores the keen interest from energy firms in tapping into India's CBM reserves.

To accelerate CBM development, the government introduced a Policy for Exploration and Exploitation of Unconventional Hydrocarbons. This policy enhances operational flexibility for companies and is supplemented by a Joint Standing Mechanism to efficiently resolve overlaps between coal mining and CBM extraction.

In terms of production techniques, India is leveraging Multi-Lateral Horizontal Well drilling, a cutting-edge technology expected to boost CBM output by 30% compared to traditional methods. This innovation is crucial for improving gas extraction efficiency, thus enhancing the commercial viability of CBM production.

Currently, India operates 15 CBM blocks over 7,009 square kilometers, with various stages of exploration and development underway.

The nation's CBM production rate is currently at 2.2 MMSCMD, with a cumulative investment of USD 2.6 billion projected to March 2024. As of February 2025, India has produced a total of 7.08 billion cubic meters of CBM. (ANI)

(With inputs from agencies.)