Congress Questions ₹84,084-Crore Samudra Manthan Scheme, Alleges Adani Benefit

The ₹84,084-crore Samudra Manthan scheme has become a political flashpoint after the Congress alleged that the government's ambitious offshore exploration programme could significantly benefit the Adani Group. Behind the political charge, however, lies a much broader policy push aimed at unlocking India's deepwater and ultra-deepwater oil and gas reserves.

The government's allocation is divided into four major components: ₹28,534 crore for offshore 2D/3D seismic surveys, ₹43,200 crore for 60 deepwater and ultra-deepwater exploration wells, ₹10,000 crore for shared offshore production and evacuation infrastructure, and ₹2,000 crore for Oil & Gas Manufacturing and Services Zones.

The financial support at the centre of the controversy applies to the drilling component. Eligible operators can receive government assistance of up to 50 per cent of eligible drilling costs, capped at ₹675 crore per well. With deepwater exploratory wells costing roughly $125-150 million, the support could substantially reduce the financial risk involved in offshore exploration.

This is where Adani Welspun Exploration Limited (AWEL) enters the political debate. The company holds exploration rights in offshore blocks including the Mumbai Offshore Basin, Tapi Daman and Kutch. Government material from April 2026 has also listed AWEL alongside ONGC, Reliance and other companies involved in India's offshore exploration sector.

Another relatively overlooked feature is the recovery mechanism for government support. According to The Economic Times on August 31, the government plans to begin recovering its financial assistance seven years after production starts, or after the explorer recovers half its development costs, whichever comes later. The arrangement raises questions about how public support would be treated if projects fail or underperform.

The scheme aims to add more than 600 million metric tonnes of oil equivalent in hydrocarbon reserves, strengthening domestic production and energy security.

Samudra Manthan also builds on reforms including HELP, introduced in 2016, the Open Acreage Licensing Programme and the opening of nearly 99 per cent of previously restricted offshore areas.

Meanwhile, the MN-DWN18-1-HD appraisal well in the Mahanadi Offshore Basin began drilling on July 25, 2026. With implementation details still being finalised, the next key question is how the funds will be distributed, who ultimately benefits and how public money is recovered.