EDINBURGH (dpa-AFX) - Cairn Energy Plc (CNE.L) is providing information on recent operations and guidance in respect of the group's trading performance.
Production from Rajasthan reached a major milestone of 175,000 barrels of oil per day, or bopd, with potential remaining to produce 300,000 bopd.
Following the return of $3.5 billion to shareholders in February 2012, Cairn held $1.1 billion in cash and cash equivalents at the end of the first quarter, 2012 to fund the ongoing capital expenditure and new business opportunities.
The valuation of Cairn's remaining ~ 22% interest in CIL, accounted for on a mark-to-market basis, is based on share price and exchange rates on that day. In the first quarter, the group held no oil and gas producing assets and generated modest operating losses as a result of new business activities and administrative expenses.
Cairn is currently in the early stages of carrying out frontier exploration in Spain and also expects to participate in the offshore Lebanon bid round, expected later this year.
Simon Thomson, Chief Executive, Cairn Energy PLC said,
'Cairn's aim is to create and capture significant value through a balanced portfolio of exploration and production assets. In 2012, we have made an excellent start in establishing that balance with the addition of Agora Oil & Gas.
This acquisition, which has already yielded the significant Skarfjell discovery, secures a building block in the North Sea where we see the opportunity to build cash flow from near term, lower risk exploration, development and production assets.
We will continue to use our considerable financial flexibility to access new opportunities that have a good strategic and commercial fit with the business to deliver future growth.'
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© 2012 AFX News
