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Business
Essar Oil & Gas Secures Five Coal Bed Methane Blocks in Three Indian States
✍️ Sarkaritel.com
🗓 16 Oct 2026, 02:37 AM
👁 18
Essar Oil & Gas announced the award of five coal‑bed methane (CBM) blocks spread across three states, expanding its upstream portfolio.
Essar Oil & Gas said it has been granted five coal‑bed methane (CBM) blocks located in three different Indian states, marking a notable addition to its exploration and production assets. The company did not disclose the specific states or the exact locations of the blocks, but confirmed that the awards were made under the latest CBM licensing round conducted by the Ministry of Petroleum and Natural Gas.
The acquisition is expected to bolster Essar's presence in the unconventional gas segment, a sector the Indian government is promoting to diversify the country's energy mix. Analysts note that CBM projects can provide a steady supply of natural gas for power generation and industrial use, potentially enhancing Essar's revenue streams.
Regulatory authorities have emphasized transparent bidding and environmental safeguards for CBM operations. Essar indicated that it will commence detailed feasibility studies and engage with local stakeholders before moving to the drilling phase, aiming to bring the blocks online in the coming years.
The acquisition is expected to bolster Essar's presence in the unconventional gas segment, a sector the Indian government is promoting to diversify the country's energy mix. Analysts note that CBM projects can provide a steady supply of natural gas for power generation and industrial use, potentially enhancing Essar's revenue streams.
Regulatory authorities have emphasized transparent bidding and environmental safeguards for CBM operations. Essar indicated that it will commence detailed feasibility studies and engage with local stakeholders before moving to the drilling phase, aiming to bring the blocks online in the coming years.