TThe UK is a core region for Cairn and we have built a strong position in the region’s mature and emerging basins by acquiring exploration, appraisal and development assets and participating in licensing rounds.
Cairn operates assets in the UK and has recently completed a 2019 exploration drilling campaign consisting of four wells, three of which were operated by Cairn.
In 2012 we acquired non-operated interests in two of the largest developments in the UK North Sea, Kraken and Catcher. During 2017 both projects achieved first oil production.
Cairn holds a 20% non-operated interest in the Catcher development and a 29.5% non-operated interest in the Kraken development, these projects provide production and cash flow to Cairn.
Net oil production to Cairn from the Catcher and Kraken fields in 2019 averaged 23,000 barrels of oil per day and in 2020 net production is estimated to be 19,000 – 23,000.
The Catcher Area Field is a combination of the Catcher, Varadero and Burgman fields ~170 km east of Aberdeen.
Gross production from the Catcher Area averaged 63,600 barrels of oil per day in 2019. The Area continued to outperform during 2019 achieving excellent operating efficiency from the FPSO.
Future drilling will deliver three new production wells and will help to offset natural decline of the Catcher Area as the existing wells come off plateau.
The JV continues to work up additional well targets within the Catcher Area and nearby discoveries to maximise economic recovery.
Kraken is a large heavy oil accumulation located in the East Shetland basin, ~125km east of the Shetland Islands.
Gross production from Kraken averaged 35,600 barrels of oil per day in 2019 and FPSO performance was significantly improved during H2 2019 and this has continued into 2020.
Future drilling of two wells, a producer and an injector pair on the western flank of the Kraken field (Worcester accumulation) will utilise spare capacity in the existing DC2 sub-sea infrastructure.
The western flank area provides further opportunities and the Pembroke, Antrim and Barra areas are being evaluated.