Cairn Energy Logs Pay with Second Gauri Well

Cairn Energy has logged pay with the, GA-2 well offshore India in the CB/OS-2 block. This is the second well in the ongoing Gauri development drilling program. The well result was slightly better than prognosis encountering approximately 43 meters of high quality gas bearing reservoir sands and approximately six meters of net oil bearing sands. GA-2 is a deviated well drilled from the Gauri jacket and will be completed as a future producer.

Operations have started on GA-3, the third well in the planned four well Gauri development drilling program. It is planned to test the best quality oil-bearing sands encountered in the development wells at the end of the program.

Gauri gas production is planned to commence in the first half of 2004 and gas will be evacuated via the Lakshmi gas-gathering system.