Historic Centre-Assam-Nagaland oil and gas exploration MoU signed; Amit Shah says major hurdle to PM Modi’s Northeast vision removed

In a significant development, the Government of India on Thursday signed a historic tripartite Memorandum of Understanding (MoU) with the Governments of Assam and Nagaland for the exploration and production of crude oil and natural gas along the border between the two northeastern states.

The MoU was signed in the presence of Union Home Minister Amit Shah, Petroleum Minister Hardeep Singh Puri and Chief Ministers of Assam and Nagaland.

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Speaking on the occasion, Shah said that the signing of the MoU is a “historic moment” and it will enhance the prospects for oil and natural gas exploration.

“This pattern opens up possibilities for mineral mining as well. I view the entire matter from a different perspective. The Prime Minister has presented a vision of a prosperous and developed North East to the region and the nation; today, we have successfully removed a major hurdle in realizing that vision,” Shah said.

The Union Home Minister praised Assam and Nagaland for their decision not to let these concerns hinder the extraction of India’s oil resources, agreeing instead to a 50-50 sharing arrangement.

“This is national wealth, and I believe this sentiment is crucial. Today, a historic MoU has been signed between the Government of India, the Government of Assam, and the Government of Nagaland,” he said.

Shah further noted that the MoU will pave the way for the economic development of both the northeastern states.

“The path opening up today will pave the way for a major highway of economic development for both Assam and Nagaland; that is my belief,” he said, describing the MoU as a great example of cooperative federalism.

Highlighting the global energy crisis due to the West Asia conflict, Shah said that energy security is key to any country’s development and the initiative will bolster India’s self-reliance in the future.

“We are all aware of the deep crisis we are facing due to the conflicts involving America, Iran, and Israel. It is not just us; the entire world is grappling with this, as no country’s development is possible without energy. I cannot say exactly how soon this agreement will help alleviate this specific crisis; however, I am confident that whenever such global crises arise, the initiative launched today will provide India with significant relief and bolster our self-reliance…,” he added.

‘North East on the forefront of PM Modi’s focus’

Amit Shah said that Prime Minister Narendra Modi has kept the North East at the forefront of his focus ever since he assumed office in 2014.

“The efforts he has made to bring peace and development to the North East are unparalleled in the history of independent India. Since 2019 alone, around 12 different agreements have been signed, ensuring peace in the region. We are witnessing a recorded reduction of nearly 80 per cent in all forms of violence across the North East,” he added.

Furthermore, the expansion of infrastructure in the region would have been impossible without these agreements. Today, tourism and investment have grown in the North East, and industrial peace has spurred an increase in private investment…”

The agreement was expected to be signed around 6:30 pm at the Ministry of Home Affairs (MHA) office here in the national capital in the presence of Assam Chief Minister Himanta Biswa Sarma and his Nagaland counterpart Neiphiu Rio, Union Home Secretary Govind Mohan, as well as officials concerned in the Ministry and from both states.

Officials said the agreement aims to facilitate the exploration and production of crude oil and natural gas along the Assam-Nagaland border, marking a crucial step toward regional cooperation and economic development.

The MoU is expected to pave the way for unlocking hydrocarbon potential in the resource-rich Assam-Nagaland border areas, which have remained underutilised due to long-standing inter-state boundary issues.

Officials said the initiative reflects the Centre’s commitment to fostering cooperative federalism while ensuring energy security and economic growth in the Northeast region.

The agreement will outline mechanisms for joint exploration, revenue sharing, and maintaining law and order during operations. It is also expected to involve public sector and private energy companies, creating employment opportunities and enhancing infrastructure in the region.