Cairn Remuneration Report Rejected by 67% of Shareholders at AGM

Cairn Energy Plc (CNE), the oil company that spent about $1 billion exploring off Greenland without a find, had its remuneration report voted down by shareholders.

The resolution was rejected by 67 percent of those who voted at today’s annual general meeting, Cairn said in a stock exchange filing. The company in January canceled plans to award more than 2.5 million pounds ($4 million) in shares to former Chief Executive Officer Bill Gammell, who today was opposed by 11 percent of shareholders for re-election as chairman.

“The board and I fully acknowledge the strength of the views expressed by our shareholders in some of their voting today,” Gammell said in a statement. “Cairn endeavors to meet the highest corporate governance standards and is conscious of its responsibility to ensure best practice and continue an open dialogue with its shareholders at all times.”

The company, based in Edinburgh, returned $3.5 billion to shareholders after selling most of its Indian unit last year for $8.7 billion to Vedanta Resources Plc. (VED) After focusing for two years on Greenland, Cairn this month completed the acquisition of Agora Oil & Gas AS, a North Sea explorer.

Cairn has declined 15 percent since the proceeds from the disposal of its Indian unit were distributed in February.

To contact the reporter on this story: Brian Swint in London at bswint@bloomberg.net

To contact the editor responsible for this story: Will Kennedy at wkennedy3@bloomberg.net

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