Seeking to deepen energy partnership with the US amid a volatile geopolitical backdrop, Indian oil and gas companies are exploring investments in natural gas liquefaction facilities in the US, said Hardeep Singh Puri, Union Minister for Petroleum and Natural Gas.
On Indian companies’ participation in US gas liquefaction projects, he said firms are evaluating equity infusion in projects that are under construction or nearing a final investment decision. He also highlighted the growing interest of American companies in the Indian energy sector.
“US companies are actively collaborating in India’s energy sector, across the exploration and production value chain,” Puri told reporters during the ongoing India Energy Week 2026 on Thursday. US firms are looking to invest in India’s exploration and production (E&P) segment and see India as a strong trading partner for gas, he added.
The statement assumes significance as India seeks to diversify its energy sources and strengthen energy cooperation with the US. The US has already imposed a steep 50% tariff on Indian exports against Indian imports of Russian oil.
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Separately, Puri said Indian oil and gas producers are also exploring working with Japanese E&P companies to jointly bid for blocks under the Open Acreage Licensing Policy (OALP).
The US is already the country’s sixth largest energy trading partner, with hydrocarbon trade reaching more than $13.7 billion in the 2024-25 fiscal year. Last year, the two countries pledged to increase bilateral energy trade to $20 billion.
The two countries are also considering potential cooperation in carbon capture, utilization and storage (CCUS) and hydrogen along with critical minerals, he said.
Japan against the tide
Regarding bilateral cooperation with Japan, he said India has invited Japanese oil companies to participate in the ongoing tenth round of auctions under the OALP.
“We have held an India-Japan roundtable on cooperation opportunities across the energy value chain,” Puri said, adding that ethanol and biofuels have emerged as other key areas of partnership, with India offering excess ethanol capacity and diversified feedstocks.
Some of the major Japanese E&P companies are INPEX Corporation, JAPEX and JX Nippon Oil & Gas Corp. The plan to invest in US liquefaction projects comes as the US expands its facilities and India seeks to diversify its energy imports.
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Additionally, during the ongoing India Energy Week, India and Japan also discussed opportunities for collaboration in automation, digitization, predictive analytics with artificial intelligence, SCADA systems and advanced equipment to increase efficiency across oil and gas and new energy segments.
Puri said Yokogawa Electric Corporation, a Japanese multinational electrical engineering and software company, has already shown strong interest in increasing investment in India.
Investor confidence
He also noted that global and domestic companies have expressed strong confidence in India’s growth trajectory and expressed their keen interest in expanding and deepening their business presence in India.
These commitments come at a time when India is trying to diversify its energy sources and ensure energy security.
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Prime Minister Narendra Modi on Wednesday held talks with CEOs of about 27 global and domestic energy giants.
Rituraj Baruah is in Panaji on the invitation of the Union Ministry of Petroleum and Natural Gas.
