Capricorn Secures 2 Exploration Licenses Offshore Greenland

Cairn Energy PLC

Cairn has secured interests in two frontier hydrocarbon exploration licenses offshore southern Greenland through its exploration focused arm Capricorn.

Capricorn has been awarded a 92% operated interest in the Cape Farewell 1 and 2 blocks offshore southern Greenland. The remaining interest in each of these blocks is held by Nunaoil A/S, the national oil company of Greenland. Each block has a seismic acquisition obligation in the first phase of the exploration period.

The total combined area of these two blocks is 20, 072 square kilometers and water depths range from approximately 50 meters to 2,200 meters.

Very little data is presently available offshore southern Greenland and the blocks announced today form part of Capricorn's reconnaissance exploration strategy for this area. Capricorn is planning to acquire around 1,780 km of 2D seismic over the Cape Farewell 1 and 2 blocks.

Capricorn also holds interests in the central (low Arctic) and southern (sub Arctic) parts of the west Greenland basin.