Bharat Petroleum Corporation Limited · NSE:BPCL
Bharat Petroleum — Investor Presentation (June 2015)
27 slides from Bharat Petroleum's investor presentation, June 2015
Slide 1: Bharat Petroleum Corporation Ltd. Investor Presentation
Bharat Petroleum Corporation Ltd. Investor Presentation June 2015
Slide 2: Disclaimer
Disclaimer No information contained herein has been verified for truthfulness completeness, accuracy, reliability or otherwise whatsoever by anyone. While the Company will use reasonable efforts to provide reliable information through this presentation, no representation or warranty (express or impl
Slide 3: Table of Contents
Table of Contents 1. Corporate Overview 4 2 Business Overview 9 3. Industry Overview 23 3
Slide 4: Corporate Overview
1. Corporate Overview Credit Highlights 4
Slide 5: Introduction
Introduction MMT • India’s 3rd largest company by turnover over INR 2,379 bn in FY15 FY15 34.5 Market Sales • India’s 2nd largest Oil Marketing Company (OMC) with domestic FY14 34.0 sales volume of over 34.45 MMT in FY15 FY 13 33.3 − Domestic market share of 21% during FY15 FY 12 31.1 • Majority Gov
Slide 6: Important Milestones
Important Milestones Kochi Refinery capacity enhanced to 9.5 BPCL entered the LNG market GoI acquired Burmah Shell MMTPA by signing a gas sales MR capacity enhanced to CCR unit at Refineries. Name changed to purchase agreement with 12 MMTPA. Mumbai BPCL in 1977 Petronet LNG BPCL & Videocon JV Refine
Slide 7: Major Subsidiaries/ JVs
Major Subsidiaries/ JVs Subsidiaries Joint Ventures City Gas Into-plane Upstream Refining Refining LNG Pipelines Trading Activities Distribution fuelling 50% 12.5% 49% 100% 61.65% 22.5% 50% Bharat Stars 50% Matrix Bharat Bharat Oman Indraprastha Petronet Petronet Refineries Services Pvt Marine Gas L
Slide 8: Key Business Verticals
Key Business Verticals Industrial / Refinery Aviation Retail Upstream Gas Lubricants LPG Aviation Commercial 23.9% market Refining 27.6% market PI in 17 oil & Currently 54 Currently 25.6% market share* 22.5% market capacity of share* gas blocks major LNG 7,000 share* Currently shar
Slide 9: Business Overview
2. Business Overview Credit Highlights 9
Slide 10: BPRL's Upstream Story over the years
BPRL’s Upstream Story over the years……. 2015 2014 2013 2012 2011 22 discoveries 2010 20 discoveries (cum) 2009 Schedule B (cum) & Lead Appraisal Wells Joint operator 2008 Reserve operator Shale gas entry certification 2007 Australia Indonesia entry 2006 Brazil & Mozambique NELP VI acquisition 2003 F
Slide 11: Upstream Global Spread
Upstream Global Spread ` Mozambique Brazil Fields Recoverable resources (TCF) Concession Well Net Pay Prosperidade 15-35+ BM-C -30 Wahoo - 1 65m Golfinho /Atum 10-30+ Barra and Barra1 34+18 m & 12m Farfan and Farfan 1 40m & 44m Orca Under Estimation BM-SEAL-11 Cumbe (multiple pay Total 50-70+ 38 m z
Slide 12: Global Upstream Footprint
Global Upstream Footprint Within India Brazil Exploration Block Operator BPRL Stake Partners Exploration Block Operator BPRL Stake* Partners NELP - IV SEAL-M-349 Petrobras 20.0% Petrobras,Videocon CY-ONN-2002/2 ONGC 40.0% ONGC SEAL-M-426 Petrobras 20.0% Petrobras,Videocon NELP- VI SEAL-M-497 Petrobr
Slide 13: Refining Coverage and Refining Capacity
Refining Coverage Installed Capacity Refining Throughput Refining Capacity 29.24* 28.55 * 28.69* 30.00 26.74 * 2.86 2.73 3.10 Mumbai – 240 kbpd 1.00 25.00 2.83 2.48 2.61 2.78 20.00 13.35 13.10 13.03 12.96 15.00 Kochi – 190 kbpd 10.00 5.00 10.32 10.40 9.56 10.11 BORL – 120 kbpd - FY 12 FY 13 FY14 FY1
Slide 14: Bina Refinery
Bina Refinery Bharat Oman Refineries Limited (BORL) – BPCL Interest 50% with 120,000 bpd (6 MMT) Refining capacity at BINA State of art technologies - High Nelson Complexity Index 9.1 NRL Refinery Associated Facilities – SPM, Crude Oil Terminal, 935-km cross country crude oil pipeline from Vad
Slide 15: Marketing Operations and Efficiencies
Marketing Operations and Efficiencies SBU Market Sales (MMT) Retail Market Share of 34.00 34.45 MS & HSD * 35.00 33.30 31.14 29.28 30.00 Retail 25.00 20.00 Lubes Direct MS > 28.10% 15.00 Aviation 10.00 LPG HSD > 28.70 % 5.00 - FY11 FY12 FY13 FY14 FY15 LPG Bottling Plant Capacity (TMTPA) Thru’put
Slide 16: Marketing Expertise and Industry Pioneer Status
Marketing Expertise and Industry Pioneer Status Retail Initiatives Brand & Customer Loyalty Programme Launched the first branded fuel in India i.e. Speed Pure for Sure (PFS) Over 5700 Automated Outlets − Pioneer program guaranteeing fuel Quality and In & Out Stores : 165 convenience stores,
Slide 17: Improved Financial Performance
Improved Financial Performance Net Worth (INR bn) Total Debt / EBITDA 224.67 194.59 3.1x 166.34 2.1x 1.3x FY13 FY14 FY15 FY13 FY14 FY15 EBITDA / Interest Total Debt / Equity 18.0x 1.4x 1.0x 7.0x 0.6x 4.3x FY13 FY14 FY15 FY13 FY14 FY15 Stable Earnings and Sound Financial Leverage driving Credit Stren
Slide 18: Improved Financial Performance
Improved Financial Performance PAT (INR Billion)/ Networth (%) Net PAT (Rs bn) 60.00 22.63 30.00 Net Worth (%) 45.00 20.87 15.89 20.00 30.00 11.00 8.79 50.85 40.61 10.00 15.00 26.43 15.47 13.11 - 0.00 FY11 FY12 FY13 FY14 FY15 Profit after Tax (Rs. Bn) Networth% Adjusted Debt-Equity Ratio (1) Adjuste
Slide 19: Future Strategy
Future Strategy Strategically expand its upstream activities through inorganic and organic growth opportunities Investment in refining and distribution capacity to bridge the gap between sales volumes and production Expand capacities and improve efficiencies at existing installation and refine
Slide 20: Ongoing projects
Ongoing projects – thriving to be self sufficient integrated source of fuel supply Integrated Refinery Expansion Project (IREP) at Kochi – Increasing refining capacity from 9.5 MMTPA to 15.5 MMTPA along with modernization of existing facilities to produce future quality fuels Mumbai Refinery –Re
Slide 21: Upcoming projects
Upcoming projects Kochi - Foray into Niche Petrochemicals Funding for upstream developments and new assets Mumbai Refinery – Upgrade/de-bottlenecking Bina Refinery – Creeping Expansion Investments in Gas Expansion of marketing infrastructure across all business verticals Investment of R
Slide 22: Highly Experienced Management Team
Highly Experienced Management Team Mr. S Varadarajan, Chairman & Managing Director Over 30 years of industry experience. He also holds the position of Chairman in Numaligarh Refinery Ltd., Bharat Oman Refineries Ltd. & position of Director in Bharat PetroResources Ltd (BPRL) and Petronet LNG Limit
Slide 23: Industry Overview
3. Industry Overview Corporate Overview Credit Highlights 23
Slide 24: India - Oil and Gas Demand
India - Oil and Gas Demand Per Capita Oil Consumption India Oil Demand India 3 69.3 FY15 19.1 17.6 China 7 68.4 FY14 17.1 Brazil 10 16.3 Russia 15 69.2 bbl/day per 1000 people FY13 15.7 15.6 Million Tonnes UK 26 64.8 FY12 15.0 Germany 31 15.4 Australia 44 60 FY11 14.2 14.3 US 61 56.2 FY10 12.8 Singa
Slide 25: Industry (PSU) Vs BPC sales growth (%) during FY15
Industry (PSU) Vs BPC sales growth (%) during FY15 20.0 11.2 11.2 10.5 10.6 10.0 0.2 1.8 - MS - R HSD - R LPG Aviation FO/LSHS Naphtha (10.0) (2.4) (3.7) (0.1) (0.3) (11.3) (20.0) (30.0) (40.0) BPCL INDUSTRY (50.0) (49.0) (60.0) Overall Growth (%) Industry (PSU) 2.22 BPC 1.32 25
Slide 26: Indian Oil Industry
Indian Oil Industry Sharing of Under Recoveries • Prices of retail sales of LPG and PDS Kerosene Oil are capped by the Government of India (GoI) • Under-recoveries shared among GoI, the public sector OMCs and the public sector upstream companies (ONGC, OIL and GAIL) • Under-recoveries determined and
Slide 27: Thank You
Thank You