Growth of Oil and Gas Industry - Infographic

Primary energy demand is expected to nearly double to 1,123 million tonnes of oil equivalent, as the country's gross domestic product (GDP) is expected to increase to US$ 8.6 trillion by 2040.

Advantage India

Growing
Demand

* Oil demand in India is projected to register a 2x growth to reach 11 million barrels per day by 2045.

* Diesel demand in India is expected to double to 163 MT by 2029-30, with diesel and gasoline covering 58% of India’s oil demand by 2045.

* Crude oil imports increased by 4.2% to 242.4 MT in FY25 compared to rise by 9.7 MT from previous year.

* India’s natural gas consumption is projected to grow by nearly 60% by 2030, reaching 297 million standard cubic metres per day (mmscmd), up from 188 mmscmd in FY24.

Rapid
Expansion

* India aims to commercialize 50% of its SPR (Strategic Petroleum Reserves) to raise funds and build additional storage tanks to offset high oil prices.

* Indian refining capacity has increased from 256.8 Million Metric Tonne Per Annum (MMTPA) in FY24 to 258.1 MMTPA as of FY25.

* The industry is expected to attract Rs. 218,475 crore (US$ 25 billion) investment in exploration and production. Refining capacity in the country is expected to increase to 667 MTPA by 2040.

Supportive FDI
Guidelines

* The Government has allowed 100% Foreign Direct Investment (FDI) in upstream and private sector refining projects.

Policy
Support

* The Union Budget FY26 has allocated Rs. 5,597 crore (US$ 640.46 million) to the petroleum and natural gas (PNG) ministry for phase II of the Indian Strategic Petroleum Reserves Ltd (ISPRL) project, aimed at turning two vast underground caverns into petroleum storage facilities.

Snapshot Showcase Infographics Reports

Last updated: Oct, 2025

Related News

29 Jan 26

Reliance Industries signs pact with ONGC for sharing offshore resources...

Reliance Industries and ONGC have entered a landmark resource-sharing pact to optimise offshore infrastructure in the KG basin and Andaman regions, aiming to accelerate project execution and reduce costs through shared rigs, vessels, and processing facilities.

28 Jan 26

India targets US$ 100 billion oil and gas investments by decade-end...

India aims to attract US$ 100 billion in oil and gas sector investments by 2030 with expanded exploration, refining, LNG infrastructure, and reforms to bolster energy security and global competitiveness.

6 Jan 26

HPCL commissions residue upgradation facility at Vizag refinery, boosts margins and fuel output...

Hindustan Petroleum Corporation Ltd (HPCL) has commissioned a new residue upgradation facility (RUF) at its Visakhapatnam refinery, significantly boosting distillate yields, refining margins, and fuel output.

24 Dec 25

L&T onshore vertical bags 'major' order from BPCL to build India's largest flexible petrochemical plant...

L&T’s Hydrocarbon Onshore business wins a major EPC order from BPCL to build India’s largest flexible petrochemical plant, with an estimated value of Rs. 5,000 crore (US$ 600 million) to Rs. 10,000 crore (US$ 1.2 billion), marking a key milestone in domestic petrochemical capacity expansion.

24 Nov 25

Operating profit of oil marketers set to jump over 50% to in FY26: Crisil Ratings...

Oil marketing companies are set for a strong profitability rebound this year, driven by higher marketing margins, softer crude prices, and improved cash flows that support expansion and reduce leverage.

Oil and Gas Clusters

Hyderabad
Mangalore
Jamnagar
NCR
Pune
Haldia
Chennai

Industry Contacts

Posters

Oil and Gas Companies in India

Husk Power System uses novel biomass gratification technology to convert abundant rice husk into combustible gases.

IBEF Campaigns

Discover India

A campaign designed to showcase the country’s rich heritage, vibrant ...

Aatmanirbhar Bharat Utsav 2024

Union Minister of External Affairs, Dr. S. Jaishankar and Union Commerce an...

Case Studies

The Evolution of Quick Commerce in India: A Sectoral Analysis

Indian retail has undergone a dramatic shift over the past few years. Not too long ago, urban Indians stocked up on groceries and daily essentials wit...