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Cairn optimistic about offshore Greenland drilling prospects

Offshore staff

EDINBURGH, UK – Cairn Energy remains confident that all the elements are in place for drilling successes offshore Greenland, despite its unproductive campaign in 2011.

The company has interests in licenses covering 11 offshore blocks with a combined area of 102,000 sq km (39,382 sq mi). The current focus is on the Pitu license block, 100 km (62 mi) offshore northwest Greenland in water depths of 400-800 m (1,312-2,624 ft).

Studies by Cairn and partners Statoil and Nunaoil, based on mapping and evaluation of 3D seismic, indicate potential resources of up to 5 Bboe. A first well could be drilled next year on the main structural high, subject to approvals and rig availability.

Elsewhere in the region, Cairn may seek to pre-qualify for the second East Greenland bid round later this year.

Last year, various operators acquired 2D and 3D seismic in Baffin Bay. Here Cairn participated in a joint shallow borehole program operated by Shell on behalf of a consortium including Conoco Phillips, GDF, Nunaoil, Maersk, Tullow, and Statoil.

The 11 boreholes completed have provided information to help stratigraphic correlations across the undrilled Melville basin.

3/19/2013

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