Difference between revisions of "Cairn India"
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'''Cairn India''' is a major subsidiary of [[Cairn Energy]] operating in South East Asia, with over 40 oil and gas discoveries and the development of major fields in India, Bangladesh and Sri Lanka.<ref>Cairn Energy website [http://www.cairnenergy.com/about-cairn/ About Cairn] Accessed 3/8/11</ref> In July 2011 [[Cairn Energy]]'s 58 per cent majority share was sold to [[Vedanta Resources]] for $8.5 billion. | '''Cairn India''' is a major subsidiary of [[Cairn Energy]] operating in South East Asia, with over 40 oil and gas discoveries and the development of major fields in India, Bangladesh and Sri Lanka.<ref>Cairn Energy website [http://www.cairnenergy.com/about-cairn/ About Cairn] Accessed 3/8/11</ref> In July 2011 [[Cairn Energy]]'s 58 per cent majority share was sold to [[Vedanta Resources]] for $8.5 billion. | ||
| − | == | + | ==Cameron pushes Vedanta Cairn deal== |
[[Vedanta]]'s takeover of [[Cairn India]] was delayed for many months prior to completion of the deal due to investigations by the Indian government into Vedanta's environmental track record and ability to manage strategically important oilfields, plus disagreements over royalty rates between Vedanta and Rajahstani state owned company ONGC, a 30 per cent shareholder in Cairn's largest producing oilfield which is in Rajahstan.<ref>Richard Wachman [http://www.guardian.co.uk/business/2011/jul/31/vedanta-resources-cairn-energy-india-deal Vedanta given green light for $8.5bn Cairn deal] The Observer, Sunday 31 July 2011. Accessed 3/8/11</ref><ref>Amy Kazmin, June 30th 2011, Financial Times. [http://www.ft.com/cms/s/0/117bf166-a327-11e0-a9a4-00144feabdc0.html#axzz1T72t416Z 'Delhi approves Vedanta Cairn deal'] Accessed 25/7/11</ref> | [[Vedanta]]'s takeover of [[Cairn India]] was delayed for many months prior to completion of the deal due to investigations by the Indian government into Vedanta's environmental track record and ability to manage strategically important oilfields, plus disagreements over royalty rates between Vedanta and Rajahstani state owned company ONGC, a 30 per cent shareholder in Cairn's largest producing oilfield which is in Rajahstan.<ref>Richard Wachman [http://www.guardian.co.uk/business/2011/jul/31/vedanta-resources-cairn-energy-india-deal Vedanta given green light for $8.5bn Cairn deal] The Observer, Sunday 31 July 2011. Accessed 3/8/11</ref><ref>Amy Kazmin, June 30th 2011, Financial Times. [http://www.ft.com/cms/s/0/117bf166-a327-11e0-a9a4-00144feabdc0.html#axzz1T72t416Z 'Delhi approves Vedanta Cairn deal'] Accessed 25/7/11</ref> | ||
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Cameron also highlighted in the same letter the need for greater transparency and predictability in India’s policy environment to enhance trade and investment between the two countries, and several other issues of concern including over the Indian government's pursuit of unpaid capital gains taxes from [[Vodafone]]. <ref> James Lamont and Amy Kazmin in New Delhi, and Alex Barker in London, [http://www.ft.com/cms/s/0/38ab0a52-3b66-11e0-9970-00144feabdc0.html#axzz1U3dKdqY5 Cameron intervenes in Cairn sale], February 18 2011 </ref> | Cameron also highlighted in the same letter the need for greater transparency and predictability in India’s policy environment to enhance trade and investment between the two countries, and several other issues of concern including over the Indian government's pursuit of unpaid capital gains taxes from [[Vodafone]]. <ref> James Lamont and Amy Kazmin in New Delhi, and Alex Barker in London, [http://www.ft.com/cms/s/0/38ab0a52-3b66-11e0-9970-00144feabdc0.html#axzz1U3dKdqY5 Cameron intervenes in Cairn sale], February 18 2011 </ref> | ||
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| + | ==Workers fear Vedanta takeover== | ||
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| + | Shortly after [[Vedanta]]'s takeover was successful the Economic Times of India reported that Cairn India staff were afraid of changes in working conditions, pay and company structure under Vedanta's ownership. They quote anonymous workers who say they fear a change to their renumeration policy which currently gives some of them 'generous stock options' and are also afraid that Vedanta has no experience in the risky business of oil. Cairn India Chief Executive [[Rahul Dhir]] has been meeting with employees to alleviate their fears, telling them that [[Vedanta]] will help Cairn India to grow as a company<ref>Himangshu Watts, 12/8/11 [http://articles.economictimes.indiatimes.com/2011-08-12/news/29880510_1_vedanta-deal-vedanta-and-cairn-cairn-vedanta Cairn India staff keep fingers crossed on future in Vedanta] Economic Times of India. Accessed 15/8/11</ref>. | ||
==People== | ==People== | ||
Revision as of 16:39, 15 August 2011
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This article is part of the Mining and Metals project of Spinwatch |
Cairn India is a major subsidiary of Cairn Energy operating in South East Asia, with over 40 oil and gas discoveries and the development of major fields in India, Bangladesh and Sri Lanka.[1] In July 2011 Cairn Energy's 58 per cent majority share was sold to Vedanta Resources for $8.5 billion.
Contents
Cameron pushes Vedanta Cairn deal
Vedanta's takeover of Cairn India was delayed for many months prior to completion of the deal due to investigations by the Indian government into Vedanta's environmental track record and ability to manage strategically important oilfields, plus disagreements over royalty rates between Vedanta and Rajahstani state owned company ONGC, a 30 per cent shareholder in Cairn's largest producing oilfield which is in Rajahstan.[2][3]
When the Indian government demanded an investigation into Vedanta's controversial track record before agreeing to the Cairn deal, the British government stepped in to urge the deal along and prevent 'unnecessary delays'.[4] In February 2011 the British Prime Minister David Cameron even made a rare personal intervention with his Indian counterpart, Manmohan Singh, to hasten a decision and break the deadlock over royalty payments threatening the sale. According to the FT newspaper,
- In his letter, Mr Cameron emphasised the importance of the deal to British investment in India. The UK prime minister has appealed to Mr Singh to see that a decision is made on Cairn’s sale of the oilfields to Vedanta as soon as possible.
The UK PM's team told the FT that his 'decision to raise the Cairn deal with his Indian counterpart reflects his determination to bring a sharper commercial edge to British diplomacy in a bid to help overcome bureaucratic hurdles'[5].
Cameron also highlighted in the same letter the need for greater transparency and predictability in India’s policy environment to enhance trade and investment between the two countries, and several other issues of concern including over the Indian government's pursuit of unpaid capital gains taxes from Vodafone. [6]
Workers fear Vedanta takeover
Shortly after Vedanta's takeover was successful the Economic Times of India reported that Cairn India staff were afraid of changes in working conditions, pay and company structure under Vedanta's ownership. They quote anonymous workers who say they fear a change to their renumeration policy which currently gives some of them 'generous stock options' and are also afraid that Vedanta has no experience in the risky business of oil. Cairn India Chief Executive Rahul Dhir has been meeting with employees to alleviate their fears, telling them that Vedanta will help Cairn India to grow as a company[7].
People
Board of Directors as of July 2011:
- Sir Bill Gammell Chairman
- Rahul Dhir Managing Director & Chief Executive Officer
- Indrajit Banerjee Executive Director & Chief Financial Officer
- Jann Brown Non-Executive Director
- Edward Story Non-Executive and Independent Director
- Naresh Chandra Non-Executive and Independent Director
- Aman Mehta Non-Executive and Independent Director
- Dr. Omkar Goswami Non-Executive and Independent Director [8].
Contact
- Cairn India
- 3rd & 4th Floor, Vipul Plaza, Suncity, Sector 54
- Gurgaon – 122 002
- India
- Telephone: +91 124 4593000 / 2703000
- Fax: +91 124 2889320
Resources
Notes
- ↑ Cairn Energy website About Cairn Accessed 3/8/11
- ↑ Richard Wachman Vedanta given green light for $8.5bn Cairn deal The Observer, Sunday 31 July 2011. Accessed 3/8/11
- ↑ Amy Kazmin, June 30th 2011, Financial Times. 'Delhi approves Vedanta Cairn deal' Accessed 25/7/11
- ↑ Amy Kazmin, June 30th 2011, Financial Times. 'Delhi approves Vedanta Cairn deal' Accessed 25/7/11
- ↑ James Lamont and Amy Kazmin in New Delhi, and Alex Barker in London, Cameron intervenes in Cairn sale, February 18 2011
- ↑ James Lamont and Amy Kazmin in New Delhi, and Alex Barker in London, Cameron intervenes in Cairn sale, February 18 2011
- ↑ Himangshu Watts, 12/8/11 Cairn India staff keep fingers crossed on future in Vedanta Economic Times of India. Accessed 15/8/11
- ↑ Cairn India Website About Us, Board of Directors] Accessed 3/8/11
