Within the hydrocarbon-producing Cretaceous marine Uttatur Group, Cauvery Basin, India, the Garudamangalam Sandstone Formation is at top of a TST-HST transit. The δ13C value is expectedly depleted within the calcareous Garudamangalam Sandstone, which is the top most unit of the Uttatur Group, overlying the Karai Shale. The calcareous sandstone was deposited in a coastal setting around a shore-parallel river mouth bar. Instances of excessive depletion of δ13C up to −44.5‰ in the carbonate cement is suggestive of methane generation and its subsequent sequestration. The common occurrence of early diagenetic pyrite in these rocks testifies to the proliferation of sulfate-reducing bacteria and is suggestive of methane generation beneath the sulfate reduction zone. Upward-moving diffusive methane was possibly consumed by methanotrophs at the base of the sulfate-reduction zone. Abundant fabric-selective carbonate cement corroborates microbially-controlled anaerobic oxidation of methane. The presumed high rate of nutrient supply, abundance of vegetative material and moderately high organic carbon content in sediments (av. 1.6%), support this contention. All the samples which have the greatest δ13C depletion are characterized by enriched organic carbon and are derived from a tidal inlet-mouth facies, and selectively from mud drapes on cross-bedding in tidal strata. Calcarenite at the base of the same cross-strata are invariably much less depleted in δC13. This range of relationships indicates the transport of methanotrophs that settled on foreset beds mostly as tides slackened under the broader control of neap-spring cycles.