Our highly experienced leadership team has delivered transformational value for more than 20 years.
How we create value
The Company seeks to create, add and realise value for stakeholders through the exploration, development and production of oil and gas within a self-funding business model. Exploration offers material value upside potential to stakeholders and production provides the cash flow to sustain exploration and development.
Reshaping the business
In 2012 Cairn made a significant return to shareholders following the sale of its Indian business and proceeded to rebuild a portfolio of assets across the UK and the Atlantic Margin. We have created a strong platform for future growth with active positions in a number of countries providing significant acreage positions of technical and commercial value.
Cairn has a flexible exploration portfolio with a balance of near infrastructure, short cycle time opportunities with high value while remaining exposed to large, more frontier opportunities with transformational potential. We have choice in the timing and extent of our capital spend and are evaluating other interesting opportunities which may fit our exploration mode. We continue to high-grade the exploration portfolio with exits from lower-ranked opportunities.
Development and production
In terms of value growth, Cairn aims to access attractive opportunities to grow and diversify the production base, reinforcing our sustainable business offering. New opportunities must enhance, not threaten, our financial flexibility, must satisfy our strict investment criteria, and must remain robust and attractive in the face of on-going commodity price volatility.
Our existing production positions are in the mature and emerging basins in the UK. We. have high quality assets and the start-up of the Kraken and Catcher developments in 2017 was significant, as it marked Cairn’s first production since 2012, when we sold the majority stake in our Indian business and returned the proceeds to shareholders. The mature and emerging basins of the UK provide balance to Cairn’s exploration portfolio and deliver the cash flow to sustain future exploration.
Our financial flexibility sits at the core of Cairn’s strategic execution, with an on-going focus on retaining balance sheet strength, liquidity, and control over our own destiny. That financial flexibility affords us a differentiated freedom to both actively manage the portfolio and to pursue accretive growth opportunities at what we believe is an attractive point in the cycle. Our financial flexibility also affords us the potential to make further shareholder returns as we balance capital discipline, sustainability and growth opportunities.
Corporate responsibility remains at the heart of our business. We continue to prioritise the health, safety, security and well-being of our people, while promoting safe behaviours among contractors and partners. We remain committed to protecting the environment in the areas where we operate. Good governance is also important, and we are committed to meeting all our obligations in a responsible and transparent manner.