Oil India Limited (OIL) signed a Revenue Sharing Contract (RSC) for Special Coal Bed Methane (CBM) Block SR-ONHP-(CBM)-2026/1. The agreement marks an important step in the company’s energy diversification strategy and its return to coal bed methane exploration.
New CBM Block Covers 272.14 Sq. Km
The newly awarded block covers 272.14 sq. km in the Singrauli Coalfield region, which offers promising geological prospects for coal bed methane exploration. Through this agreement, Oil India aims to expand its exploration activities and strengthen its energy portfolio beyond conventional oil and natural gas resources. The contract signing ceremony was attended by Union Minister of Petroleum and Natural Gas Hardeep Singh Puri and Petroleum and Natural Gas Secretary Dr. Neeraj Mittal. Oil India was represented by Director (Operations) Trailukya Borgohain and his team.
Supporting India’s Domestic Natural Gas Production
Coal bed methane is a form of natural gas extracted from coal seams. As an alternative source of natural gas, CBM can contribute to domestic energy production and help diversify the country’s energy supply. As reported by projectstoday.ai, Oil India’s return to CBM exploration supports its broader efforts to identify additional energy resources and strengthen India’s domestic hydrocarbon production capabilities.
