Hindustan Oil Exploration Co., Ltd. · NSE:HINDOILEXP

Hindustan Oil Exploration — Q4 FY2023 Earnings Presentation

25 slides from Hindustan Oil Exploration's earnings presentation, May 30, 2023

  1. Slide 1: Cover letter to stock exchanges

    Hindustan Oil Exploration Company Limited ‘Lakshmi Chambers’, 192, St. Mary’s Road, Alwarpet, Chennai - 600 018. INDIA. : 91 (044) 66229000 ● Fax: 91 (044) 66229011 / 66229012 E-mail: contact@hoec.com ● Website: www.hoec.com CIN: L11100GJ1996PLC029880 May 30, 2023 By Online The Listing Department Th

  2. Slide 2: Investor Presentation Q4-FY23/FY23

    Hindustan Oil Exploration Company Limited INVESTOR PRESENTATION | Q4-FY23/FY23 MAY 2023

  3. Slide 3: Proven Track Record

    Proven Track Record Gross Production (boepd) 10,545 10,101 9,583 8,622 7,243 7,895 FY 20 FY 21 FY 22 Q3 FY23 Q4 FY23 FY 23 > 100% 27 Months 4.5 Years 5 yr Gross Production CAGR Dirok (Assam) – FDP to First Gas Timeline B-80 (Western Offshore) – FDP to First Gas Timeline 2

  4. Slide 4: Board of Directors

    Board of Directors Vivek Rae - Non-Executive Independent Director/ Chairman Mr Rae, a former secretary, Ministry of Petroleum & Natural Gas, Government of India, served in the Indian Administrative Services for 38 years. Subsequent to his retirement, Mr. Rae served as a whole-time member of the 7th

  5. Slide 5: Tailored Asset Portfolio with Broad Geographical Presence

    Tailored Asset Portfolio with Broad Geographical Presence Onshore Offshore Onshore Offshore Onshore Oil Well Oil Well Gas Gas Exploration • India Focused Asset Portfolio tailored to deliver our strategy of rapid development of discovered resources • Strong offshore presence with anchor assets on bot

  6. Slide 6: Focused Strategy for Value Generation

    Focused Strategy for Value Generation Uniquely placed with right organization and right asset portfolio to deliver superior value Focus on Growth strategy Growing responsibly Discovered Resources • Focus on discovered oil and • Build on Offshore Operating • Create long-term stakeholder gas resources

  7. Slide 7: Business Overview

    BUSINESS OVERVIEW 6

  8. Slide 8: B-80 Operations Update

    B-80 Operations Update • Both oil (D1) and gas (D2) wells are on continuous production. • HP separator repaired , tested and commissioned • Produced oil is being transported and stored at the Floating Storage and Offloading (FSO)- tradable parcel size is now ready for shipment • Fresh Crude Assay is

  9. Slide 9: B-80: Key Milestones

    B-80: Key Milestones • FDP Approved Dec 2017 • Drilling & completion – 2 subsea development wells April 2020 KGB- Offshore Installation at B-80 Site • Offshore Installation(OI) for collecting, March 2021 separating and processing well fluids • Hot-Tap of existing ONGC WO-16 April 2021 Pipeline; Subs

  10. Slide 10: Dirok: Production & Phase-II development

    Dirok: Production & Phase-II development Field Layout 30 mmscfd 506 bopd > 15% Gas Production Condensate Production Assam Gas (Q4-FY23) (Q4-FY23) Production • Premium Sales during Q4 FY 23 constitute about 25% of the total Dirok sales. • Central PSU Indradhanush Gas Grid Limited (IGGL) is expected t

  11. Slide 11: PY-1: Enhancing Production and Offtake Arrangements

    PY-1: Enhancing Production and Offtake Arrangements USD 3.67 55 mmscfd 56 km Realised Price per Processing Sub sea MMBTU Capacity pipeline Cauvery • Production Sharing Contract (PSC) for PY-1 block stands extended to October 5, 2030. • Only offshore platform in Cauvery Basin with 8 slots and four we

  12. Slide 12: Kharsang: Phase I Development Plan

    Kharsang: Phase I Development Plan 424 boepd 18 Oil Production 30% Number of Direct + Indirect PI Wells to be drilled in (Q4-FY23) near future Field Overview • HOEC acquired entire share capital of M/s Geopetrol International Inc in 2018 which has 30% stake - Direct and Indirect in Kharsang Oil fiel

  13. Slide 13: Cambay: Developments

    Cambay: Developments 73 boepd 0.343 mmscfd Asjol, North Oil Production Total Gas Production Balol and Palej Cambay Cambay (Q4-FY23) (Q4-FY23) Marginal fields at Cambay Approved FDP to be executed over the next two years: Gujarat • Asjol: 2 development wells & hook-up to EPS; public hearing completed

  14. Slide 14: Financial Overview

    <~ H==EL FINANCIAL OVERVIEW

  15. Slide 15: Standalone Statement of Profit or Loss

    Standalone Statement of Profit or Loss PARTICULARS (INR Cr) Q4-FY23 Q3-FY23 FY23 FY22 INCOME Revenue from operations 141.63 101.34 381.05 130.51 Other income 9.07 5.03 27.91 16.80 Total revenue 150.70 106.37 408.96 147.31 EXPENSES Expenses from producing oil and gas blocks 39.88 60.34 169.52 22.25 R

  16. Slide 16: Standalone Statement of Assets & Liabilities

    Standalone Statement of Assets & Liabilities PARTICULARS (INR Cr) FY23 FY22 FY21 PARTICULARS (INR Cr) FY23 FY22 FY21 ASSETS EQUITY AND LIABILITIES Non-Current Asset 960.74 990.03 704.41 Equity 929.66 765.97 730.18 (a) Property, Plant and Equipment (i) Oil & gas assets 781.39 275.86 288.59 (a) Equity

  17. Slide 17: Consolidated Statement of Profit or Loss

    Consolidated Statement of Profit or Loss PARTICULARS (INR Cr) Q4-FY23 Q3-FY23 FY23 FY22 INCOME Revenue from operations 175.09 169.83 558.92 155.73 Other income 4.23 1.73 8.80 11.46 Total revenue 179.32 171.56 567.72 167.19 EXPENSES Expenses from producing oil and gas blocks 42.25 61.82 176.49 28.23

  18. Slide 18: Consolidated Statement of Assets & Liabilities

    Consolidated Statement of Assets & Liabilities PARTICULARS (INR Cr) FY23 FY22 FY21 PARTICULARS (INR Cr) FY23 FY22 FY21 ASSETS EQUITY AND LIABILITIES Non-Current Asset 1,381.51 1,387.44 958.41 Equity 947.21 753.12 733.17 (a) Property, Plant and Equipment (a) Equity share capital 132.26 132.26 132.26

  19. Slide 19: Capital Market Data

    Capital Market Data 1 Year share price movement (As on 31st March 2023) Marquee Investors % Holding 20% 10% Housing Development Finance 6.40% 0% Corporation Ltd (HDFC) -10% -20% Kotak Small Cap Fund 1.62% -30% -40% -50% Apr-22 May-22 Jun-22 Jul-22 Aug-22 Sep-22 Oct-22 Nov-22 Dec-22 Jan-23 Feb-23 Mar

  20. Slide 20: Reference

    ‘to 5 REFERENCE

  21. Slide 21: Production Sharing Model

    Production Sharing Model Aggregate Aggregate Investment value of Net value of *Aggregate value to be taken from the year when production/investments Multiple Cash Income Investments first incurred Net Cash Income Investments Cost Petroleum Contractors exploration cost + Profit Petroleum + + Contract

  22. Slide 22: Investment Multiple under PSC

    Investment Multiple under PSC Block AAP-ON-94/1 PY-1* PY-3* North Balol Kharsang* CB-ON-7 Asjol* Gas 10% 10% 10% 10% - - - Royalty Oil/Cond 20% - 10% - 20% 20% 20% Cess Oil/Cond 20% 20% 20% 0% 20% 20% 20% Cost Recovery 80% 100% 100% 80% 100% 60% 100% Limit Investment Multiple (Govt. Share Percentage

  23. Slide 23: Revenue Sharing Model

    Revenue Sharing Model 90% 100% Bidding process based on the Revenue Sharing Model involves 2 parameters – % of Govt. share of revenue 90% 80% Lower Revenue Point (LRP) and Higher Revenue Point (HRP). The revenue share 70% for intermediate points will be calculated by linear interpolation. The bidder

  24. Slide 24: Disclaimer

    Disclaimer No representation or warranty, express or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information or opinions contained in this presentation. Such information and opinions are in all events not current after the d

  25. Slide 25: Thank You

    THANK YOU 24

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