Drilling Report

Cairn Energy PLC
03 April 2003


EMBARGOED FOR RELEASE AT 0700





                                                                    3 April 2003





                                CAIRN ENERGY PLC




                         Block CB/OS-2 - Western India
                         Prospect 'K' Exploration Well



On 22 March Cairn spudded the CB-K-1 exploration well on the western margin of
Block CB/OS-2.  The well was drilled to a total depth of 1,255 metres and
encountered thick, high quality reservoir sands with residual oil saturations.
Consequently, the well has been plugged and abandoned.


Cairn's exploration programme on the established hydrocarbon producing and more
prospective eastern margin continues, with a seismic survey in the shallow water
and onshore eastern part of the block currently underway. Leads and prospects
are emerging and it is anticipated that further exploration drilling will be
undertaken in 2003 / 2004.


The rig is now being moved to the CB-A-6 Lakshmi oil appraisal well location.





Enquiries:-



Cairn Energy PLC:


Kevin Hart, Finance Director                          Tel:    [phone]
Malcolm Thoms, Group General Manager                  Tel:    [phone]



Brunswick Group Limited:


Patrick Handley, Catherine Bertwistle, Mark Antelme   Tel:   [phone]






Notes to Editors:-



1.       'Cairn' where referred to in this release means Cairn Energy PLC and/or
its subsidiaries, as appropriate.



2.       Cairn holds a 75% exploration interest in Block CB/OS-2, with the
remaining exploration interests being held by Oil & Natural Gas Company Ltd. ('
ONCG') with 10% and TATA Petrodyne Limited ('TATA') with 15%. ONGC has a right
to increase its interest by 30% in the event of a commercial discovery on the
block and has exercised this right in respect of the ring-fenced Lakshmi
development area (Cairn 50%, ONGC 40% and TATA 10%).


                      This information is provided by RNS
            The company news service from the London Stock Exchange