Cairn to return $700 mln to shareholders as it signals resolving India tax issues

Cairn Energy, a British oil and gas company, said it will return up to US $700 million to shareholders through a special dividend and a buyback this year, as it expects its tax dispute in India to come to an end.

“Progress in resolving our Indian tax issue and active portfolio management leave Cairn well-positioned to deliver growth from a sustainable business, focused on generating further value and returns for shareholders,” Simon Thomson, Chief Executive, Cairn Energy PLC said in a statement.

"When we say shortly, we anticipate the near term resolution of this issue - that means all of our litigation, and the Indian government paying us the $1.06 billion," Cairn's Thomson added on a conference call, referring to the expected refund, as reported by Reuters.