HOUSTON, March 11 (Reuters) - India's largest privately

owned oil and gas company Cairn India said it may invest in U.S.

service and engineering companies as part of a $5 billion plan

to grow output five-fold in the coming years, its chairman said

on Tuesday.

"I want to spend $5 billion on developing my project to get

to 500,000 barrels per day production," billionaire Anil Agarwal

told Reuters in an interview.

Cairn, part of Vedanta Limited, produces 100,000 bpd today.

It plans to drill several deepwater exploration wells next year.

Agarwal, speaking during a visit to Houston where he

attended the CERAWeek conference, said Cairn seeks to work with

7 or 8 technical partners and buy 5 or 6 drilling rigs for the

exploration and development of the offshore project.

"We are looking to develop 500 to 600 new wells, we would

like at least 20 rigs to work in our field," Agarwal said.

"I can invest in the engineering company, the rig company,

because that will help me to explore in India better," he said.

"I'd love American companies to come join hands and take up

this project."