UK-based oil and gas exploration major Cairn Energy Plc has mopped up $240 million by selling 2.3% in its Indian subsidiary Cairn India to Malaysia’s Petronas International Corporation Ltd.
With this move, Petronas’ stake in Cairn India jumps to 14.94%, within touching distance of an open offer trigger. Cairn UK now retains a 62.75% interest in Cairn India, which made a major oil discovery (Mangala) in Rajasthan in the north west of India in 2004.
Cairn India, the Indian arm of the UK firm, has interests in a total of 13 acreage blocks in India and Sri Lanka.
The UK-based firm will use the proceeds to invest in its exploration projects in Greenland. In a parallel move, Cairn, the UK-based oil and gas exploration major, has agreed to sell 10% in its six operated blocks offshore Greenland to Petronas in a transaction valued at $70 million.