The UK and India have been doing quite well in the field of oil exploration. These two countries have been enjoying almost a perfect partnership in the exploration of oil. In fact, India is the second largest producer of oil after Saudi Arabia. It is also a leading producer of natural gas. However, the UK is the major energy producer in the world and it has a huge potential for more oil finds in the near future.
The country’s presence in the Middle East should not be underestimated. India is an important partner to the United Kingdom for oil exploration in the Middle East. The UK must realize that it cannot continue to rely on the Middle East countries like Saudi Arabia alone for its oil needs. This is because the growing Chinese economy will soon take over the oil market share that is held by the United Kingdom. There are several reasons why the UK should look to India for oil exploration.
The first reason is that the oil companies from the UK such as Shell have their bases in India. This means that the Indian government is proactively supporting the growth of these oil companies. The British government has encouraged the growth of the Indian subsidiary of Shell. This shows that both countries are working together to benefit from the oil industry.
Another good thing about the oil exploration in India is that the Indian government has shown a positive attitude in improving the relationship with the country. For instance, the UK invited the Indian ambassador to the United Kingdom to attend a conference in London. Moreover, the Indian government is actively encouraging the private sector players to invest in the oil exploration in the country. This would encourage the growth of the oil industry in India.
The third reason is that the oil exploration in India may provide a chance for the Indian people to strike oil rich deposits within a short period. The cost of the crude oil dropped by the millions when the oil companies stopped exploring the reserves of the country. This was one of the reasons for the strike. But when the government and the oil company came back together, they could find another promising find. Therefore, the Indian people could again extract the profits out of the reserves without striking a strike.
The fourth reason is that this investment will not affect the relations between the two countries. Both the countries will be able to benefit from this decision. The government would gain more funds through this new venture and the oil company would be able to find more chances to drill in the country. They would be able to get another profitable field to explore.