Oil India Limited · NSE:OIL
Oil India — Investor Presentation (November 2014)
32 slides from Oil India's investor presentation, November 2014
Slide 1: Oil India Limited Investor Presentation
Oil India Limited Investor Presentation November 2014 | Strictly Private & Confidential
Slide 2: Table of Contents
Table of Contents 1. Company background 2. Asset and reserve overview 3. Strategic strengths 4. Operating and Financial Highlights 5. Growth Strategy
Slide 3: Company background
oO sidan dfean forties Oil India Limited SS aw Fa SOP
Slide 4: Oil India: An Introduction
Oil India: An Introduction Over 5 decades of experience in oil & gas sector Rich Heritage Credited with creation, operation and maintenance of a fully- automated crude oil pipeline GoI ownership of 67.6% Strong Parentage with Awarded ‘Navratna’ status in 2010 Government of India (GoI) Seco
Slide 5: Our vision
Our vision Fastest Growing Energy Company with Highest Profitability • Delight Customers with Quality Products and Services at Competitive Prices Team, Committed to Honesty, Integrity, Transparency and Mutual Trust creating Employee Pride Fully Committed to Safety, Health and Environment Learning
Slide 6: Key Highlights
Key Highlights Obtained International Credit Ratings : ‘Baa2’ by Moody's and BBB- by Fitch Maiden Foreign Currency Bond Issue of US$ 1 billion Acquisition of gas assets in Rovuma Offshore Block in Mozambique Acquired producing property in License 1 Block in Russia Raised first External Commercial Bo
Slide 7: Shareholding Structure
Shareholding Structure Others 14.8% DII 8.0% Listed on BSE / NSE FII 9.6% Number of shares: 601.14 mn GOI 67.6% Key shareholders % Shareholding Dividend FY14 Dividend/Share: Rs.21.5 Indian Oil Corporation 4.45% Bharat Petroleum Corporation 2.23% Hindustan Petroleum Corporation 2.23% Share price (52
Slide 8: Oil India: Milestones and Track Record
Oil India: Milestones and Track Record IPO –Raised Acquisition in Rovuma ‘Baa2’ Credit Rating by Formed as a JV with Participates first time in Rs.2777 crore. Awarded Navratna Offshore Block in Moody's and BBB-by Burmah Oil Company NELP Listed in Stock Status Mozambique and License 61 Fitch Exchange
Slide 9: Strong Parentage and Experienced Management Team
Strong Parentage and Experienced Management Team Strong Parentage of GoI Best In-Class Management Team Sunil K. Srivastava Appointed Chairman & Managing Director in May 2nd Largest Public Sector E&P company 2012 Chairman & MD Former Director General, Directorate General of Became a Public Sector Und
Slide 10: Integrated and Diversified Oil & Gas Player
Integrated and Diversified Oil & Gas Player Non Conventional Exploration Production Transportation Downstream Energy Domestic: 56 E&P blocks Crude oil Crude Oil Refining and marketing Wind Energy (including 1 CBM block) petroleum products 41 installations 1,157 km pipeline; Over Capacity: 67.6 MW In
Slide 11: Asset and reserve overview
oO sidan dfean forties Oil India Limited SS aw Fa SOP
Slide 12: Domestic Asset Overview
Domestic Asset Overview Blocks No Area (sq. km.) NELP – Operator 12 18,463 NELP – Non-Operator 15 61,296 PML – Nomination 21 4,995 ASSAM +AP PEL – Nomination 5 1,239 AA-ONN-2010/2 40% ASSAM +AP JV / PSC 2 201 Total 55 86,194 AA-ONN-2009/4 50% AA-ONN-2004/2 100% AA-ONN-2005/1 30% RJ-ONN-2004/2 60% AA
Slide 13: International Asset Overview
International Asset Overview US Libya 25% Colorado 20% 60 sq.km Area 95/96 6,629sq.km (Sonatrach) Julesburg Basin Ghadames Basin Russia 50% 4,991sq. km License 61 Nigeria 17.5% 1,295sq.km Sudan OPL 205 (Suntera) 10% 741 km Pipeline Venezuela 203sq.km Bangladesh Carabobo 1 North 3.5% 45% 7,269sq.km 1
Slide 14: Large and Diversified Reserve Base
Large and Diversified Reserve Base Large Reserve Base with an Attractive Oil & Gas Mix Crude Oil Natural Gas (mmbl) (bcm) 886 851 868 77 71 70 604 599 612 54 49 47 32 277 261 245 28 25 FY2012 FY2013 FY2014 FY2012 FY2013 FY2014 1P 2P 3P 1P 2P 3P Reserve Replacement Ratio 1.74 1.64 1.50 1.37 1.29 FY20
Slide 15: Downstream Operations
Downstream Operations OIL intends to continue an active strategy of vertical integration into downstream sectors such as refining, processing, distribution and retailing, cracking and fractionation of gas This vertical integration strategy is aimed at achieving following objectives: – Diversificatio
Slide 16: Strategic strengths
oO sidan dfean forties Oil India Limited SS aw Fa SOP
Slide 17: Solid Infrastructure Base with Strong In-House Capabilities
Solid Infrastructure Base with Strong In-House Capabilities Vertically Integrated E&P Operations with Solid Infrastructure Recovery Techniques (IOR/EOR) Drilling & Oil Reservoir Seismic API Drilling Field Services Management (2D and 3D) Wireline Integration Logging Vertical Seismic (2D,3D) In-House
Slide 18: Attractive Cost Structure
Attractive Cost Structure OIL has the Advantage of Low Finding and Development Costs OIL's integrated oil and gas infrastructure enables the company to manage costs efficiently by optimizing manpower costs, using in- house services, adapting cost-saving technology, effectively using geological data
Slide 19: Growth Focus on Key International Projects
Growth Focus on Key International Projects Rovuma Basin, Offshore, Mozambique Project 1, Carabobo, Onshore, Venezuela In-place gas resources up to 84 tcf and recoverable resources of 15 development well drilled. 35-65 tcf 15 wells are on production with current average total production First product
Slide 20: Operating and Financial Highlights
Operating and Financial Highlights
Slide 21: Crude Oil and Natural Gas Production
Crude Oil and Natural Gas Production Crude Oil Production (mn. bbl) Natural Gas Production (mm scm) 27.8 2,633 2,639 2,626 25.9 26.4 25.9 24.9 2,415 2,352 1,371 12.2 FY10 FY11 FY12 FY 13 FY14 H1 FY15 FY10 FY11 FY12 FY 13 FY14 H1 FY15 21
Slide 22: Financial highlights
Financial highlights Revenue (Rs. crore) EBITDA (Rs. crore) 5,996 6,123 5,656 11,280 11,478 11,241 5,146 4,629 8,860 9,194 2,767 5,555 FY10 FY11 FY12 FY13 FY14 H1 FY15 FY10 FY11 FY12 FY13 FY14 H1 FY15 Net Profit (Rs. crore) Earnings Per Share (Rs.) 57 60 3,447 3,589 48 50 2,888 2,981 46 2,611 1,460
Slide 23: Financial highlights
Financial highlights Dividend Payout (% of PAT) Book Value Per Share (Rs.) 366 50% 344 320 43% 295 260 31% 33% 229 30% FY10 FY11 FY12 FY13 FY14 FY10 FY11 FY12 FY13 FY14 H1 FY15 Dividend Payment (Rs. Crore) Net Worth (Rs. Crore) 1,803 20708 21569 19212 1,292 17721 1,142 15602 13745 902 818 FY10 FY11
Slide 24: Sharing of Subsidy and Crude Price Realisation
Sharing of Subsidy and Crude Price Realisation Rs. crore % Sharing H1 H1 FY10 FY11 FY12 FY13 FY14 FY15 FY10 FY11 FY12 FY13 FY14 FY15 ONGC 11554 24893 44,465 49,421 56,384 26,841 ONGC 80% 82% 81% 81% 84% 84% OIL 1549 3293 7,352 7892 8,737 4,085 OIL 11% 11% 13% 14% 13% 13% GAIL 1327 2111 3,183 2687 1,
Slide 25: Contribution to Exchequer
Contribution to Exchequer Central Government 1,727 1,711 (Rs.crore) 1,552 1,612 1,603 1,297 1,333 1,164 1,218 1,038 1,144 942 940 898 828 FY 10 FY 11 FY 12 FY 13 FY 14 Corporate Tax Cess Dividend & Others State Government (Rs.crore) 1,349 1,333 1,276 1,083 1,147 516 517 509 342 368 FY 10 FY 11 FY 12
Slide 26: Growth Strategy
oO sidan dfean forties Oil India Limited SS aw Fa SOP
Slide 27: Robust Strategy in Place
Robust Strategy in Place Grow assets by acquiring exploration acreages, discovered blocks and Balanced growth of assets producing properties domestically and internationally Implement a number of IOR1 and EOR1 techniques to develop maturing Improve rate of recovery fields and to improve the recovery
Slide 28: Enhanced production from IOR/EOR initiatives
Enhanced production from IOR/EOR initiatives Improvement in Production (mn. bbl) Investment in IOR/EOR (Rs. Crore) 8.04 965 7.01 5.19 669 650 4.47 510 488 3.45 FY10 FY11 FY12 FY13 FY14 FY10 FY11 FY12 FY13 FY14 OIL has made investments of ~ Rs.3,300 crore in IOR/EOR initiatives during last five years
Slide 29: Significant Investment Lined Up
Significant Investment Lined Up Annual Plan 2014-15: Rs.3,632 crore Plan Expenditure (Rs. Crore) Overseas Investments Survey 19% 0% 12% 2890 2938 2050 Capital Equipment 17% Exploration 33% FY 12 FY 13 FY 14* Development 19% * Plan expenditure for FY14 excludes investments in Mozambique acquisition X
Slide 30: Guidance: FY'15
Guidance: FY’15 2014-15 (Target) Crude oil production 3.63 MMT Natural gas production 2,840 mmscm 32
Slide 31: Conclusion
Conclusion Steady and sustained Growth Sound Financial Health Strong operating track record More than 5 decades of E&P expertise Spreading wings: NE - Pan India - Global Large prospective E&P acreage Pioneer in Pipeline transportation Entry into Offshore/ Deep Water Blocks Entry into discovered and
Slide 32: Thank You
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