North Sea update

RNS Number : 6763C

Cairn Energy PLC

21 January 2015

 



For Immediate Release                                                                                                21 January 2015

CAIRN ENERGY PLC

("Cairn" or "the Company")

North Sea update -

Completion of Catcher farm out and Norwegian licence awards

Cairn is pleased to announce the completion of the farm out agreement to Dyas UK Limited for the sale of a 10% interest in the Catcher development and adjacent acreage in the UK North Sea for a carry of Cairn's exploration and development costs up to a cap of US$182 million (m) effective 1 January 2014. The Catcher development is on track for first oil from 2017.

 As a result of the transaction, Cairn has reduced its forward capital expenditure to the end of 2017 by ~US$380m.  Cairn retains a 20% working interest in the Catcher licence.

Cairn, through its wholly owned subsidiary Capricorn Norge AS, has also been awarded the following non-operated interests in five licences in the Norwegian 2014 APA Licensing Round.  These licences do not carry firm well commitments and are in locations adjacent to current areas of interest in Norway.

PL 788: 34/9 and 35/4, 5, 7, 8, 10  

Wintershall 50%

Cairn 50%

PL787: 35/9 

Bayerngas 40%

Wintershall 30%

Cairn 30%

PL 790: 34/2, 5

Det norske 50%

Spike 25%

Cairn 25%

PL 159 E: 6507/3

Statoil 42%

E.ON 40%

Cairn 18%

PL 800: 6508/1, 2 

EnQuest 35%

Cairn 35%

Skagen44 30%

Enquiries to:

Analysts / Investors

David Nisbet, Corporate Affairs                                                                              Tel: [phone]

Media

Patrick Handley, David Litterick

Brunswick Group LLP                                                                                           Tel: [phone]

NOTES TO EDITORS

Cairn Energy PLC ("Cairn") is one of Europe's leading independent oil and gas exploration and development companies and is listed on the London Stock Exchange. Cairn has discovered and developed oil and gas reserves in a variety of locations around the world.

Cairn's business operations are now focused on frontier exploration acreage in North West Europe, North West Africa, North Atlantic and Mediterranean, underpinned by interests in development assets in the North Sea. Cairn has its headquarters in Edinburgh, Scotland supported by operational offices in London, Norway and Senegal. 

Cairn and Corporate Responsibility

Ø Cairn is a signatory to the UN Global Compact and our core values of respect, responsibility, relationships and our commitments towards people, the environment and society are enshrined in our Business Principles, which are available on the Cairn website at http://www.cairnenergy.com/index.asp?pageid=282

Ø Cairn became a participating company in the Extractive Industry Transparency Initiative (EITI) in September 2013. The EITI is a coalition of governments, companies and civil society, who have adopted a multi-stakeholder approach to applying the EITI global standard promoting transparency of payments in the oil, gas and mining sectors http://eiti.org/

For further information on Cairn please see: www.cairnenergy.com

 

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