New Delhi: British oil firm Cairn Energy Plc has completed the sale of a controlling stake in its Indian unit to mining major Vedanta and has got another USD 4.1 billion from the sale of the remaining 30 percent from the mining company.

Besides, Cairn Energy in July had already sold 10 percent stake in Cairn India to Vedanta for about USD 1.4 billion. As a result, Vedanta Group now holds 60 per cent stake in Cairn India.

Cairn on Thursday in a statement said, “Cairn is pleased to announce that the transaction has now completed." Sesa Goa Ltd, a unit of London-listed Vedanta Resources, had on Wednesday stated that it has raised its stake in Cairn India to 20 percent following the acquisition of 2.88 crore additional shares, amounting to a 1.5 percent stake. Once the deal is completed Cairn Energy would retain about 22 percent share.

The deal was suppose to get completed by August 2010 but its was delayed as the state-owned Oil and Natural Gas Corporation (ONGC), which partners Cairn India in its crown jewel Rajasthan oilfields as well as seven other properties, demanded sharing of royalty it pays before the deal was cleared.

ONGC, being the licencee of the Rajasthan block, pays 20 percent royalty on not just its 30 percent share of production, but also on the 70 percent share of Cairn India.

JPN/Bureau