Building an E

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Building an EP Business in IndiaNELP VII
Roadshow - 2008
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Disclaimer
These materials contain forward-looking
statements regarding Cairn India, our corporate
plans, future financial condition, future results
of operations, future business plans and
strategies. All such forward-looking statements
are based on our management's assumptions and
beliefs in the light of information available to
them at this time. These forward-looking
statements are, by their nature, subject to
significant risks and uncertainties and actual
results, performance and achievements may be
materially different from those expressed in such
statements. Factors that may cause actual
results, performance or achievements to differ
from expectations include, but are not limited
to, regulatory changes, future levels of industry
product supply, demand and pricing, weather and
weather related impacts, wars and acts of
terrorism, development and use of technology,
acts of competitors and other changes to business
conditions. Cairn India undertakes no obligation
to revise any such forward-looking statements to
reflect any changes in Cairn Indias expectations
with regard thereto or any change in
circumstances or events after the date hereof.
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Cairn in India

• VISION
• India is prospective for hydrocarbons
• Rapidly growing energy markets
• Favourable investment climate
• FOCUS
• Sustained investment and re-investmentin the
  region for more than a decade
• Rajasthan new world-class oil province
  established
• EDGE
• Knowledge / Expertise / Relationships
• Consistent strategy and material acreage position
• Partnership with Indian stakeholders

DELHI
NEPAL
KATHMANDU
DHAKA
INDIA
BANGLADESH
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Track Record of Discoveries
Oil and Gas Found Every Year Since 1998
More than 40 discoveries to date
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Overview of Assets

• 14 blocks, 2 producing Ravva and CB/OS-2
• Operated gross field production 73,640 boepd
  (working interest 18,771 boepd)
• 11 offshore platforms and 2 processing plants
• Rajasthan block under development
• Exploration ongoing in all blocks except CB/OS-2
• 5 operated

Gross production target 150,000 bopd
RJ-ON-90/1
CB/OS-2
Gross Production13,190 boepd
RAVVA
Gross Production 60,450 boepd
Note 2007 figures
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Unique Skill Set
Development
Exploration
Production
Sales

• Fast track development
• Lakshmi gas field discovery in May 2000 and first
  gas by October 2002
• Ravva developed from a 3,700bopd field to 35,000
  bopd field in 26 months
• Rajasthan field development plan (FDP) approved
  within 30 months from discovery

• More than 40 hydrocarbon
• discoveries
• Onshore
• Offshore
• Deep
• Shallow

• Operates the largest producing fields in Indian
  Private Sector
• Field direct opex of Ravva and CB/OS-2 is around
  2/boe
• Pioneer in India for use of the latest
  technologies to extend production life

• Gas sales contract with public and private buyers
• Oil sales to four major refineries across India
• Efficient sales management of more than 1.6 bn
  gross annual revenues in 2007

Strong operating track record across all aspects
of EP activities
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Cairn India World Class Resource Base
Exploration Potential

• 14 blocks
• Gross prospective unrisked potential
• gt 1.5 bnboe (Net 360 mmboe)
• DM estimates at time of IPO

4.5
1.4
3.1
bn boe
2.2
0.9
Ravva, Cambay KG-DWN
Rajasthan Field GHIIP Under Development
Rajasthan Other Fields GHIIP
GHIIP
Note GHIIP Gross Hydrocarbons Initially in
place Have already recovered 230 mmboe from
Ravva and 29 mmboe from CB/OS-2 at 31/12/2007
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Delivering Strong Production Growth
Net (WI) Projected Production

• Maximise and sustain production from current
  operational assets
• Execute Main Rajasthan developments
• Optimise further growth potential in Rajasthan
  through EOR, Barmer Hill, gas and smaller fields
• Future exploration growth across all Indian
  interests
• Plateau extension through current successful
  infill well drilling programme

115,000
boepd
93
19,482
66
34
7
Q3 07 Working Interest
2010
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Rajasthan Developing a World Class Basin

• Resource base gt 3.6 billion boe
• 4 fields approved for development including
  Mangala and Aishwariya
• Declaration of Commerciality for Northern
  Appraisal Area
• First Oil in 2009
• Mangala revised STOIIP- potential plateau
  production 125,000 bopd
• Bhagyam FDP plateau 40,000 bopd approval
  pending
• Aishwariya FDP approved plateau 10,000 bopd 
• EOR 200 mmbbls 2C Resources - potential for
  further production increase 
• EOR pilot planned for 2009
• Potential to produce 20 domestic crude

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Continuing Application of Technology
Mangala STOIIP mmbbls

• Dec 2007 Mangala reserves update submitted to DGH

1700
1600
P101599
1500
P10 20
1400
P101336
P501293
1300
P501202
1200
P101166
1100
P501071
P901091
1000
P50956
P90 -20
900
P90819
Pre STM 3D Seismic, PHIE, SWT, DS Data ( 9 Wells )
P50829
800
Post STM 3D Seismic, PHIE, SWE, DS Data ( 7 Wells
)
P90772
Post STM 3D Seismic, PHIE, SWE ( 7 Wells )
700
Additional 2D Seismic, PHIE, SWE ( 7 Wells )
600
500
2D Seismic, PHIE, SWE ( 2 Wells )
400
300
P90242
200
100
0
DoC (June 2004)
DoC (Aug. 2004)
FDP (Oct. 2005)
Dec 2007
IPO Dec 2006
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Update
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Maximising Recovery by Application of EOR

• Laboratory Core Flood Experiments completed for
  Mangala and Bhagyam
• Polymer Flood
• Alkali-Surfactant-Polymer (ASP) Flood
• Chemical Flood Simulation studies for Mangala
  underway
• Significant addition of reserves
• Potential for increased offtake and plateau
  extension
• Reduced water production and injection
• Techno-Economics
• Robust under wide range of costs oil price
• Forward plan
• ASP field pilot during 2009-10

ASP
Polymer
Production Rate
Water Flood
100
80
60
ASP
Recovery
40
Polymer
Water Flood
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Top Figure Demonstrates sweep/displacement
efficiency obtained during scaled sector
simulation modeling for Mangala waterflood and
ASP processes. Bottom Figure Sector modeling
results have been upscaled to estimate full-field
chemical flood (Polymer and ASP) recoveries.
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Rajasthan Development Concept
Bhatinda
Panipat

• lt25 wells to first oil
• Rigs under contract
• Fluid handling
• capacity

• Low risk development
• Known technology
• Shallow depths
• Reservoir connectivity
• Good reservoir quality
• High sand content with little faulting
• Well interference tests
• Sustain deliverability
• Artificial lift
• EOR opportunity
• Flow assurance
• Hot water injection
• Hot water jet pumps

DELHI
Mathura
Rajasthan
Mangala
Kot
Viramgam
Kandla
Mangala to Viramgam325 km
Mundra
Salaya
Jamnagar
Koyali
Gujarat
Pipeline Route
Existing Pipelines
Mangala to Salaya585 km
Tankers to Coastal Refineries
Refinery
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Rajasthan Project Alignment
PRIZE

• Target sustainable production gt150,000bopd
• 50-60bn gross revenues at current prices
• Significant value creation for Government of
  India and Rajasthan State

Government ofIndia
Fast Project Maximum Volumes Highest Price
RAJASTHAN STATE
Note 889mmboe gross resources at US60 -
US70/bbl
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Exploration Investment Highlights

• Cairn US 1.1 billion (gross) 0.74 billion (net)
  in exploration since 1994
• World class resource base from successful
  exploration
• 1994 101 mmboe gross 2P reserves initial Ravva
  reserves
• 2006 1,167 mmboe gross 2P reserves contingent
  resources
• Produced gt226 mmboe since 1994
• More than 40 oil and gas discoveries in India - 3
  landmark discoveries
• Lakshmi Gas field in Cambay - 2000
• Annapurna Gas field - Deepwater KG Basin 2001
• Mangala Oil Field - Rajasthan 2004
• Drilled gt180 exploration appraisal wells,
  acquired gt 17,650 km 2D and gt 6,750 km2 3D
  seismic
• Participated in all New Exploration Licensing
  Policy (NELP) rounds
• Exploring in 14 Blocks across India, covering
  full range of risk and potential resource impact

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Exploration Strategy

• Focus on India Replace Production Early Entry
  Significant Equity and Acreage
• Focus on both mature and frontier/relatively
  unexplored areas
• Operatorship Onshore and Shallow Water
  Selective Partnerships with Edge
• Maintain balanced portfolio of risk, reward and
  exposure
• Acreage access via license round,
  farm-in/strategic alliances/cross-assignment,
  asset purchase and corporate purchase

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Summary of Recent ForthcomingExploration
Activity
Exploration Activity 13 wells, 4 seismic
programmes
RJ-ON-90/1
GV-ONN-97/1
220 km2 3D and 6 wells in 2007, further drilling
Q4 2008
Spud of final commitment well in Dec 2007
VN-ONN-2003/1
2D seismic expected in 2008
GV-ONN-2003/1
2D seismic in 2008
RJ-ONN-2003/1
Acquired 3D 2007. Drilling expected 2008
GV-ONN-2002/1
500 Km 2D Seismic acquired in 2007. Drilling 2008
CB-ONN-2002/1
3 wells from early 2008
RAVVA
Drilled 2 wells 2007. Appraisal drilling Q1 2008
KG-ONN-2003/1
GS-OSN-2003/1
Seismic 2D 3D planned in 2008
Acquired 500 km2 3D and entered 2nd Exploration
Period
KG-DWN-98/2
UD discovery Q4 2006 plus 2 exploration wells in
2007. Appraisal plan in preparation drilling and
3D seismic in 2008/09
KK-DWN-2004/1
2D programme expected in 2008
PR-OSN-2004/1
2D programme planned for 2008
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Cairn India Well Placed For Future Growth

• First Oil from Mangala on schedule for 2009
• Five fold production increase by 2010
• Ongoing cash flow from current operations in
  Ravva and Cambay Basin
• Established resource base
• EOR potential for recovery increase and plateau
  extension
• Further exploration opportunities

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