A proposed nearly 2,000-km deep-sea gas pipeline connecting Oman and Gujarat across the Arabian Sea is being touted as India’s answer to the energy uncertainty stemming from the crisis in West Asia.
The project has been examined several times over the past three decades, but high costs, technological hurdles and questions over commercial viability prevented it from progressing beyond the planning stage. As policymakers revisit options to strengthen India’s future energy security, the proposal has once again come under discussion.
SAGE (South Asia Gas Enterprise), which has promoted the project for years, says it has previously conducted technical and financial assessments as well as seabed surveys for the proposed route.
Estimated to cost around Rs 40,000 crore, the Oman-Gujarat Deep-Sea Gas Pipeline would carry natural gas directly from Oman to India’s western coast through one of the deepest subsea routes ever attempted. If built, it could establish a direct energy corridor between the Gulf and India, reducing the country’s reliance on shipping routes that pass through the Strait of Hormuz, one of the world’s most strategically important maritime chokepoints.
With India seeking long-term energy security and geopolitical tensions continuing to cast a shadow over global energy markets, the decades-old proposal has found renewed relevance.
Why the project matters?
India remains heavily dependent on imported energy. The country imports most of its crude oil requirements and relies significantly on overseas supplies of natural gas, particularly LNG.
A substantial portion of those imports originates in the Gulf and reaches India through the Strait of Hormuz, the narrow waterway linking the Persian Gulf to the Arabian Sea. Any disruption along this route can have immediate consequences for global energy markets, affecting shipping costs, fuel prices and supply chains.
Recent tensions in West Asia have once again highlighted the vulnerability of relying on a single maritime corridor. Sharp fluctuations in LNG prices and concerns over shipping security have renewed interest in alternatives that could provide greater supply stability.
The Oman-Gujarat pipeline is being viewed as one such option.
Unlike LNG imports, which require gas to be liquefied, transported by tanker and regasified upon arrival, a pipeline would allow natural gas to flow directly from source to destination. Supporters argue that this could offer greater reliability and reduce exposure to disruptions affecting maritime trade routes.
What the pipeline would look like
The proposed project, often referred to as the Middle East-India Deepwater Pipeline, would connect Oman directly to Gujarat through an underwater network stretching across the Arabian Sea.
Its most striking feature is its depth.
Parts of the route are expected to lie more than 3,000 metres below sea level, making it one of the deepest subsea pipeline projects ever proposed. Such depths are significantly greater than those encountered in most offshore energy projects and would require highly specialised engineering solutions.
The pipeline is expected to transport natural gas under long-term supply agreements, potentially helping India diversify its energy sources while providing Oman with a stable export market.
According to project proposals, transportation costs could be in the range of $2-2.25 per MMBtu, although final costs would depend on financing arrangements, construction expenses and future gas prices.
Three decades in the making
The concept of a direct energy link between Oman and India has existed for more than 30 years. Over the decades, multiple studies examined the possibility of laying a pipeline beneath the Arabian Sea. However, earlier proposals struggled to gain momentum because of high costs and technological constraints.
At the time, questions persisted over whether a project operating at such depths could be built and maintained economically. Fluctuating energy prices further complicated the business case.
Those concerns have not disappeared, but advances in offshore engineering and the growing strategic importance of energy security have helped revive interest in the project.
SAGE said it has carried out technical and financial assessments and conducted seabed surveys along the proposed route to evaluate engineering feasibility. The findings of those studies have not been publicly released.
And according to recent reports, the Petroleum Ministry has tasked state-run companies including GAIL, Engineers India Ltd and Indian Oil Corporation with preparing a detailed feasibility report based on a pre-feasibility study submitted by SAGE.
A positive assessment could pave the way for formal discussions with Oman on gas supply, financing and implementation.
What are the main challenges?
Despite its strategic appeal, the project faces significant hurdles.
The first is engineering.
Constructing infrastructure at depths of around 3,000 metres presents challenges that go far beyond those encountered in conventional pipeline projects. Extreme pressure, difficult seabed conditions and limited accessibility make installation and maintenance considerably more complex.
Any leak or technical failure would also be difficult and expensive to repair, requiring specialised vessels and advanced underwater equipment.
The second challenge is economics.
The estimated cost of Rs 40,000 crore remains preliminary, and large infrastructure projects often face delays and cost overruns. Whether the pipeline ultimately makes commercial sense will depend on long-term gas prices, transportation costs and future demand.
Previous versions of the project failed largely because the economics were not compelling enough. Supporters believe changing market conditions and strategic considerations have strengthened the case, but investors will still want assurances that the project can generate sustainable returns.
The third challenge is financing.
Questions remain over who would fund the project, how costs would be shared and whether long-term supply agreements can provide sufficient certainty to support investment decisions.
More than an energy project
For policymakers, the Oman-Gujarat pipeline is about more than importing natural gas.
The proposal fits into a broader effort to strengthen India’s energy resilience and reduce exposure to geopolitical disruptions. A direct energy corridor linking India with the Gulf could also deepen economic ties with regional partners and provide greater flexibility in managing future energy needs.
Some energy experts see the project as a potential foundation for wider Gulf-India energy connectivity in the years ahead. As the global energy transition progresses, infrastructure built today could eventually support the movement of alternative fuels, including hydrogen.
Whether that vision materialises will depend on decisions taken over the coming years.
For now, the Oman-Gujarat Deep-Sea Gas Pipeline remains one of India’s most ambitious energy proposals. The strategic logic behind it has become stronger as concerns over energy security grow. The engineering challenges, however, remain formidable.
After more than three decades of discussion, the project is once again being evaluated as a possible answer to one of India’s biggest energy vulnerabilities: dependence on a single maritime route for a large share of its energy imports.
The question is no longer whether the idea is attractive. It is whether the technology, economics and financing can finally align to turn it into reality.
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