Cairn India has reduced its capital expenditure for FY17 by a third to $100 million or around Rs 660 crore. The company will spend 80% of total investment for development including Raageshwari gas (field) and Mangala enhanced oil recovery (both in flagship Rajasthan block) completion activities and 20 per cent in exploration.
Cairn had originally planned a capex of $1.2 billion for FY16, but later revised it to $500 million as oil prices started to fall. In third quarter, the firm further trimmed it down to $300 million. In 2014-15, the company had spent $1.1 billion of capital expenditure.
Cairn India is one of the largest independent oil and gas exploration and production companies in India with a market capitalisation of $10 billion.
