REFILE-Options open to India state firms for Cairn India bid

(Refiles to add dropped word in second paragraph)

NEW DELHI Aug 23 (Reuters) - All options are open for Indian state energy firms to make a bid to counter London-based Vedanta Resources' (VED.L) proposed offer to buy a majority stake in Cairn India (CAIL.BO), an oil ministry source said.

The oil ministry source was speaking to Reuters after a media report said Oil and Natural Gas Corp (ONGC.BO), GAIL (GAIL.BO) and Oil India (OILI.BO) were considering a joint bid for Cairn India.

The oil ministry has not given any direction to state firms to make a counter bid for Cairn India, said the source, who did not wish to be named.

ONGC, Oil India and GAIL declined to comment.

On Aug 16, Vedanta Resources said it would spend up to $9.6 billion to buy a majority stake in Cairn India, the Indian unit of the UK's Cairn Energy (CNE.L). [ID:nLDE67F074] (Reporting by Nidhi Verma; Editing by Surojit Gupta)