Oil India has found natural gas in the previously unappraised Matsyapuri formation at the Godavari-1 appraisal well in the shallow offshore Krishna-Godavari Basin off India’s east coast. The well lies in the KG-DSF/GSKW/2018 Discovered Small Field block, where Oil India is the sole operator. Hydrocarbons were encountered in a selected zone between 2,024 and 2,027 metres.
Testing of the zone began on October 16, 2026. The well flowed gas at about 100,000 standard cubic metres per day, while continuous testing recorded a maximum rate of 200,000 SCMD. Wellhead pressure was measured at 1,815 pounds per square inch, and water was also reported during testing.
The 200,000-SCMD figure is a peak test result, not an announced reserve estimate or commercial production rate. Oil India has not disclosed the volume of potentially recoverable resources associated with the discovery, nor has it announced a development schedule or production start date. Preparations are under way to test the next higher hydrocarbon-bearing zone in the same well, making that evaluation the immediate next step in the appraisal process.
The discovery adds to exploration activity in the Krishna-Godavari Basin, a major oil and gas region along India’s eastern coast. The basin includes onshore and offshore discoveries and producing assets operated by Oil India, state-run Oil and Natural Gas Corporation and Reliance Industries.
The result also follows other recent exploration announcements by Indian state-run companies. Oil and Natural Gas Corporation reported a gas discovery in September in a deepwater exploratory well in the Mahanadi Offshore Basin off Odisha, while Oil India reported gas in its Vijayapuram-3 exploratory well in the Andaman offshore basin in June. The government’s Samudra Manthan program is supporting deepwater and ultra-deepwater exploration with an allocation of 84,084 crore rupees through 2030-31, including seismic surveys, 60 exploratory wells, shared offshore infrastructure and domestic manufacturing and services. The government has also set a target of increasing natural gas’s share of the energy mix to 15% by 2030 from about 6% currently.