Holding in Company

Cairn Energy PLC
31 July 2001


31 July 2001


                          Cairn Energy PLC ('Cairn')

  Notification of Shareholding - Companies Act 1985 ss.198-202 (as amended)

On 30 July 2001, Cairn was notified by Legal & General Investment Management
Limited that it now holds an interest in 4,423,007 Ordinary Shares of 10p each
in Cairn, representing 2.99% of Cairn's current issued ordinary share capital.
The registered holders to which this notification relates and the number of
shares held by those registered holders as at 30 July 2001 is as follows:-

                                                              NUMBER OF
REGISTERED HOLDER                                                SHARES

HSBC Global Custody Nominee (UK) Ltd A/c 887711                 538,074
HSBC Global Custody Nominee (UK) Ltd A/c 775245                 676,703
HSBC Global Custody Nominee (UK) Ltd A/c 360509                  84,978
HSBC Global Custody Nominee (UK) Ltd A/c 357206               2,856,214
HSBC Global Custody Nominee (UK) Ltd A/c 363605                 155,108
HSBC Global Custody Nominee (UK) Ltd A/c 866203                 112,000
                                                              4,423,077   2.99%