Cabinet skirts Cairn-Vedanta deal: Oil min

The cabinet on Thursday did not discuss the proposed sale of a stake of British oil explorer Cairn Energy's India unit to Vedanta Resources, Oil Minister S. Jaipal Reddy said.

Reddy had earlier said the cabinet could take up the matter this week.

Cairn agreed in August to sell up to 51% of Cairn India for up to USD 9.6 billion to Vedanta, in a deal which originally had a cut-off date of May 20.

The deal has been delayed due to a dispute over royalty payments with Cairn India's partner in the Rajasthan project, state-run Oil and Natural Gas Corp.

"It did not come up today," Reddy told reporters after the weekely cabinet meeting in New Delhi.

Cairn India Ltd. said today that Malcolm Thorns, a representative of Cairn Energy Plc, has stood down from the Board of Directors of the Company effective on June 15.

Furthermore, Rick Bott, Executive Director & Chief Operating Officer has also ceased to be a Director of the Company although he continues to be associated with the Cairn India Group in his capacity as Executive Director & Deputy CEO of Cairn Energy India Pty Ltd., a wholly owned subsidiary of the Company.

Cairn Energy Plc will continue to be represented on the Board by Sir Bill Gammell, Chairman and Jann Brown.