Cairn sells 40% share to Lukoil, page-76

Rolla

Cairn-Lukoil are JV partners in Offshore Mexico Block-10 where they made the Saasken oil discovery last year with ENI (apprx 200-300 mmbbls).
Post-Sangomar, Cairn has found another project to follow up/appraise.

USD300mil is a bargain price compared to the USD 442mil Woodside paid for COP BV's 35% in Oct2016, albiet challenging times now esp. with the oil price drop to the 30-40's/bbl. The 100mil contingent can change to 50mil if oil production is delayed into 2024 or should POO drop to USD55-60/bbl.

USD 300m reqd now. 30 days to Pre-empt from the 24th of July. Lukoil had already met the Govt.

WPL's has cash reserves of USD 4.5bil & undrawn facility of 3bil, so they'd b thinking if its worth chasing this or the 15% partner & then flog a portion later when price recovers or just focus on Chevy's 16.66% in the Shelf & any other local attractions outside Greater Enfield Oil.

Note that they could buy Anadarko's share in the producing fields at Jubilee or TEN, where Oxy was looking for a buyer.