Holding(s) in Company

Cairn Energy PLC
05 August 2005


FOR IMMEDIATE RELEASE

                                                                   5 August 2005


                         Cairn Energy PLC ('Cairn')

   Notification of Shareholding - Companies Act 1985 ss.198-202 (as amended)

On 4 August 2005, Cairn was notified by Merrill Lynch Investment Managers Group 
Limited on behalf of itself and certain of its subsidiaries, that they had an 
aggregate interest in 22,275,105 ordinary shares of 10 pence each in Cairn, 
representing approximately 13.96% of Cairn's current issued ordinary share 
capital.

The registered holders to which this notification related and the number of
shares held by those registered holders as at 1 August 2005 (if known) were as
follows:-

REGISTERED HOLDER                       NUMBER OF SHARES   NATURE OF INTEREST
(IF KNOWN)

Nutraco Nominees Limited (Des & Undes)        11,853,507   Non-beneficial
Merrill Lynch Pension Nominees Limited         1,230,440   Beneficial
A/C Noncert                                    
Stamford Nominees Limited A/C Charty              17,908   Non-beneficial
Stamford Nominees Limited (Undes)                  1,000   Non-beneficial
Possfund Nominees Limited                        929,835   Non-beneficial
Britel Nominees Limited                        1,280,147   Non-beneficial
Treasury of the Government of the Isle           172,830   Non-beneficial
of Man Nominees A/C 5                            
Treasury of the Government of the Isle            89,310   Non-beneficial
of Man Nominees A/C 10                            
Other Names                                    6,700,128   Non-beneficial

                                              22,275,105   13.96%



                      This information is provided by RNS
            The company news service from the London Stock Exchange