EnQuest denies Kraken reserves downgrade

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EnQuest today denied that the reserves estimate for its Kraken field had been downgraded.

Earlier, Cairn Energy, which owns 29.5% of the North Sea field, said the figure had been lowered by 6.8 million barrels of oil equivalent, or 19%, following an evaluation of reservoir performance.

Operator EnQuest quickly responded, insisting its reserves estimate remains “materially unchanged”.

EnQuest said Cairn used “different technical approaches” to Kraken production forecasting, which has led to a difference in reserves estimates.

London-listed EnQuest said it did not expect to recognise an impairment charge related to Kraken in its full-year results, published later this month.