Cairn Energy looks ahead with confidence

Cairn Energy chief executive Simon Thomson has flagged an “active” year for the Edinburgh-based oil explorer and producer after a “very busy” 2017.

In a bullish trading statement yesterday to coincide with the group’s annual general meeting, Thomson told investors that progress in the North Sea, Africa, Norway and Mexico will make for another successful year.

Recent highlights have included the production of first oil from the Catcher and Kraken developments in the North Sea.

Bothschemesarenowramping up to achieve full capacity production by mid-year with 17,000 to 20,000 barrels of oil per day expected to Cairn over this year and with output continuing to grow into 2019.

In Senegal, the firm has successfully completed its third exploration and appraisal drilling campaign. It has now fully appraised the “world class” SNE field and is targeting first oil between 2021 and 2023.

At its Nova prospect in Norway, development planning work is “ongoing” with first oil anticipated in 2021.

On the exploration front, Cairn is planning to drill four wells in 2019-20 in Mexico where it has acquired new licences.

Thomson said: “This year marks 30 years since Cairn listed on the London Stock Exchange.

“Over that time, we have always sought to maximise value for our shareholders, whilst operating safely and responsibly and in partnership with the host governments where we work.” 0 Simon Thomson: bullish outlook for year ahead