Cairn Ups Kraken Reserves Estimate

March 10, 2020

World Energy Reports LLC.

Cairn Energy on Tuesday revised up reserves at its British North Sea Kraken oil field, which is majority-owened by EnQuest, effectively reversing a $163 million impairment it had booked on a Kraken downgrade a year ago. 

Cairn, which owns 30% of Kraken, upgraded its reserves estimates at the field by 6.4 million barrels of oil equivalent after it performed better than expected last year, overcoming previous production problems. 

"Despite a reduction in group's long-term oil price assumption, down from $70 a barrel to $65 a barrel, the revised valuation of the Kraken asset is sufficient to reverse the prior-year impairment charge in full," Cairn said. 

EnQuest, whose shares slumped after Cairn's Kraken downgrade a year ago, never reduced its reserves estimates for the field.

 (Reporting by Shadia Nasralla, editing by Louise Heavens)

Floating Production Week delivers unrivaled overview, insight and analysis to the Offshore Floating Production Systems and Technology market

Floating Production Systems Report And Online Database

  • Monthly reports -- Our monthly reports provide a detailed snapshot of the business sector as of the middle of each month. More than 80 pages of data and industry analysis each month. Excel spreadsheets with each report enable subscribers to tailor the data presentation to their needs. In October of each year we provide a detailed five year forecast of production floater orders. In March of each year we fine tune the forecast and make revisions as needed.
  • Online database -- The online database is updated every day – with information direct from primary sources. In the database are details for 240 planned projects, 370 installations in service, 70+ floaters on order and 20+ floaters available. The database is fully searchable. Customized charts and spreadsheets can be directly produced from the database.
  • Customer support -- We are available to assist with technical questions about information in the database and reports -- and assist with any questions about using the database search tools.

Here's what you get!

Request a Free Sample Report