ONGC found oil in Ballia
ONGC found crude oil in Ballia's Sagarpali village at 3,000m depth after a Ganga basin survey. They leased 6.5 acres for ₹10 lakh/year to drill, using 25,000L water daily till April 2025. This could spark a 300-km oil belt, cutting India's import needs.
MARKET NEWS
1/31/20261 min read
ONGC identified large crude oil reserves in Ballia district, Uttar Pradesh, following a three-month survey of the Ganga basin. The discovery was made at a depth of 3,000 meters in the Sagarpali hamlet, potentially boosting India's energy security.
Discovery Location and Details
The reserves were discovered on land held by the family of freedom hero Chittu Pandey, which covers approximately 6.5 acres. ONGC leased the site for three years at an annual rent of ₹10 lakh. Drilling began soon after and is anticipated to end by April 2025, consuming 25,000 liters of water every day. This site is part of a larger 300-kilometer oil belt that runs from Sagarpali in Ballia to Phaphamau in Prayagraj.
Drilling and Expansion Plans
Drilling efforts have begun, and success here could lead to further wells within the identified belt. Local descendant Neel Pandey pointed out that the lease contains a one-year renewal option. If commercially viable, ONGC intends to purchase additional land at premium prices, helping farmers and establishing Ballia as a growing oil hub.
Economic and Strategic Impact
This finding has the potential to significantly reduce India's dependency on imported oil, particularly from Arab countries, and drive the economy for decades. It is consistent with ONGC's attempts to increase domestic output, as the business supplies 70% of India's crude oil and natural gas. Major producing states such as Rajasthan, Gujarat, and Assam currently dominate, but Ballia expands the Ganga basin's potential.