Drilling Report

Cairn Energy PLC
03 June 2003


EMBARGOED FOR RELEASE AT 0700                                        3 June 2003




                                CAIRN ENERGY PLC

                  Rajasthan Block RJ-ON-90/1 - Drilling Update
                           Saraswati-3 Appraisal Well


Cairn announces that it has completed drilling Saraswati-3, the second appraisal
well on the Saraswati oil discovery onshore Rajasthan. The well reached a total
depth of 1,640 metres and was drilled five kilometres north west of Saraswati-2
in order to appraise a separate fault compartment.


Petro-physical evaluation has indicated the presence of hydrocarbons in
Saraswati-3 and the well has been temporarily suspended. A testing programme
using a work-over rig will be conducted in the coming weeks and will also
include testing of the Sarawati-2 well.


The drilling rig will now be moved to exploration prospect 'D', which is located
approximately 33 kilometres south east of Saraswati-3.





Enquiries to:

Cairn Energy PLC:

Bill Gammell, Chief Executive
Tel: [phone]

Mike Watts, Exploration Director
Tel: [phone]

Kevin Hart, Finance Director
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 100% interest in Block RJ-ON-90/1. ONGC has a right to 30%
of any development area resulting from a commercial discovery on the block.



                      This information is provided by RNS
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