Vedanta-Backed Cairn Aims for 1 Million Barrels per Day Production, Eyes US Shale to Reduce Import Dependence

Vedanta Ltd.'s Cairn Oil & Gas Seeks to Quadruple Daily Output

Cairn Oil & Gas, a subsidiary of Vedanta Ltd., aims to increase its daily oil output to approximately 1 million barrels over the next decade, driven by the surge in crude prices. This growth strategy is expected to significantly benefit India's economy, which relies heavily on imported crude.

Cairn Executives in Houston

To achieve its ambitious targets, Cairn Oil & Gas will invest up to $5 billion in oilfield contractors to develop fields in India, including shale formations. The company plans to hire 10 Americans with expertise in US shale drilling to apply their knowledge in India, with the goal of reducing drilling and completion times by one-third.

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India's Energy Security

Vedanta Ltd.'s Chairman Anil Agarwal emphasized the importance of energy security for India, stating that the country needs to secure at least 50% of its energy needs to avoid instability. The company's efforts to bring in international expertise will contribute to India's energy independence.

Global Oil Market Trends

The move by Cairn Oil & Gas to tap into international expertise coincides with the decline in US shale activity. Oil contractors are expanding their presence globally, driven by the need to diversify their operations.

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