A senior official of the Petroleum Ministry, quoted, "The Defence Ministry did not give clearance to three (blocks) in KG Basin and one block in Orissa coast. The Directorate General of Hydrocarbons (DGH) already identified 40 blocks for NELP-X, including three blocks in the KG Basin. The ministry might object to another three blocks, taking the total to seven."
As per the estimations of the Ministry of Petroleum and Natural Gas, the prolific basin has 1,130 million metric tonnes of oil and oil-equivalent gas. But owing to defence ministry's objection, none of the blocks were offered for auction in the recently concluded New Exploration Licensing Policy (NELP) bidding.