Cairn Energy has reported a pre-tax loss of £660m for 2013.

The previous year, the Edinburgh-based oil and gas firm reported a loss of £116m.

It said the figures for 2013 followed a number of unsuccessful drilling projects.

Earlier this week, the company said a well in Morocco had proved to be dry.

In a statement, Cairn Energy said it was also to stop its £181m share buy back programme, due to ongoing investigations by Indian tax authorities into its operations.

-- Advertisement --

The group has a 10% shareholding in Cairn India Limited (CIL) but it is not able to share that stake while investigations are being carried out.

Elsewhere, the firm's costs for unsuccessful exploration increased by 34% to £128m. This included £64m spent on drilling offshore Morocco and £49m in the North Sea.

Simon Thomson, Chief Executive at Cairn Energy, said: "Cairn has an active drilling programme in 2014 that is complemented and balanced by its sustainable development and production portfolio.

"The strategy continues to focus on an attractive mix of frontier and mature basin exploration. By building a growing prospect and lead inventory, from which to select and high grade prospects for drilling, we aim to offer shareholders material potential growth opportunities over the long term."

Mr Thomson added that the company is "committed to resolving the Indian tax situation."

(JP/IT)