Massive Deep-Sea Gas Pipeline Project from Oman to India Planned Amid Global Energy Shock Triggered by Iran War

According to a report by the Economic Times citing officials from the Petroleum Ministry, the government is evaluating the feasibility of constructing an undersea natural gas pipeline connecting Oman directly to India. The project is estimated to cost around INR 40,000 crore and may take five to seven years to complete. Authorities are expected to task GAIL (India) Limited, Engineers India Limited, and Indian Oil Corporation with preparing a detailed feasibility report on the proposal.

A private sector consortium, South Asia Gas Enterprises, had previously submitted a pre-feasibility study, which is currently under government review. An official involved in the discussions stated that India must reduce its dependence on spot market gas purchases, adding that a dedicated pipeline from West Asia would significantly strengthen the country’s energy security.

India’s natural gas demand continues to rise steadily, with current daily consumption estimated at 190 to 195 million cubic meters. By 2030, demand is projected to reach approximately 300 million cubic meters per day. LNG imports alone are expected to rise to between 180 and 200 million cubic meters per day by the end of the decade, reflecting growing industrial and urban energy requirements.

The proposed Middle-East India Deep Water Pipeline would span approximately 2,000 kilometers beneath the Arabian Sea, directly connecting Oman to India’s Gujarat coast. The project is designed to supply nearly 31 million cubic meters of natural gas per day, potentially easing supply constraints across key sectors. The fertilizer industry alone requires 46 to 50 million cubic meters per day, while the expanding city gas distribution network continues to drive additional demand.

The pipeline is also expected to provide access to gas resources from Oman, the United Arab Emirates, Saudi Arabia, Iran, Turkmenistan, and Qatar, collectively holding an estimated 2,500 trillion cubic feet of gas reserves. Engineers anticipate that the pipeline could pass through depths of up to 3,450 meters beneath the sea, potentially making it one of the deepest offshore pipelines ever constructed globally.

Currently, nearly two-thirds of India’s LNG imports pass through the Strait of Hormuz. The ongoing Iran war has disrupted maritime movement through this critical route, contributing to an estimated 20 percent reduction in global supply and triggering a sharp rise in energy prices.

Alongside pipeline development, India is also evaluating expansion of its gas storage infrastructure. At present, the country lacks a strategic gas reserve system. Existing LNG storage capacity is limited to 22 to 24 storage tanks at regasification terminals, amounting to approximately 2 to 2.5 billion cubic meters, sufficient for only 10 to 12 days of national consumption. In contrast, China’s storage capacity is projected to reach around 80 billion cubic meters by the end of the decade, highlighting a significant strategic gap in energy resilience.

The proposed pipeline and associated infrastructure developments mark a major shift in India’s long-term energy security strategy, aiming to reduce external vulnerability and ensure stable supply in an increasingly volatile global energy environment.