Edinburgh-based oil explorer Cairn Energy is this year focusing on its drilling programme in Senegal, where it made successful oil finds in 2014.
The company has reduced headcount across its full-time employees and contractors by 40% to cut costs.
In Cairn’s North Sea operations, the Catcher and Kraken fields are on track to deliver first oil from 2017.
CEO Simon Thomson said: “The large acreage position in Senegal offers material near-term growth potential with numerous follow-on prospects identified. The joint venture is well-positioned to benefit from the current reduction in industry costs.”
The SNE-1 well 100km off the west African coast could hold 150-670 million barrels of recoverable resources. It is 24km from Cairn’s FAN-1 well.
Cairn owns 40% of three blocks off the coast of Senegal.
Other stakeholders include ConocoPhillips, which owns 35%.
Cairn said its field development work is fully funded, and it had $869m of cash at the end of last year.
