Hindustan Petroleum Corporation Limited · NSE:HINDPETRO
Hindustan Petroleum — Investor Presentation (August 2023)
37 slides from Hindustan Petroleum's investor presentation, August 2023
Slide 1: Hindustan Petroleum Corporation Limited Investor Presentation
Questions Hindustan Petroleum Corporation Limited Investor Presentation August, 2023 Mumbai
Slide 2: Plan of Presentation
Plan of Presentation Corporate Overview Business Overview Plan of Presentation . Performance Overview Future Plans
Slide 3: Corporate Overview
Corporate Overview
Slide 4: Integrated Refining & Marketing Company
Integrated Refining & Marketing Company Shareholding Profile as of 30th June, 2023 8.41% 2.16% ONGC 7.08% FPIs Mutual 13.46% Funds Non- Institutions Insurance Cos. Others 13.99% 54.90% • Maharatna Company since 2019 • Operating for 100+years Strong presence in India in Oil & Gas Sector • Pan India p
Slide 5: Legacy of over 100 years
Legacy of over 100 years 2019 2018 1997 Maharatna 1978 status to GoI transfers HPCL 1974 its 51.11% Navratna equity share to 1969 Status to ONGC Merger of HPCL 1962 Caltex Formation of undertaking HPCL by in India into 1955 HPCL Commissioning Amalgamating of 165 TMTPA ESSO and 1952 Stanvac’s name Lu
Slide 6: Core Strengths
Core Strengths Strategically Located Assets World Class Assets • Refineries in the East, West, South and North of the Country • Refineries connected with cross-country pipeline Mumbai • Over 80% of product evacuation from refineries through cross-country pipelines Refinery • Distribution facilities
Slide 7: Credit ratings and recognitions
At par with India's sovereign rating Recognitions and accolades Recipient of FIPI’s Company of the Year in Excellence in Human Baa3 (Stable) Resource Management 2022 Recipient of FIPI’s Sustainably Growing BBB- (Stable) Corporate of the Year 2022
Slide 8: Business Overview
Business Overview
Slide 9: Diversified Portfolio
Diversified Portfolio Marketing Pipelines *42.2 MMT Refining (domestic) 5,132 Kms JVs & 20.5 MMTPA (HPCL Capacity) Subsidiaries 11.3 MMTPA (JV Capacity) *19 Numbers E&P Exports Along with JVs/ *1.2 MMT subsidiary Renewables R&D *Wind & Solar 55 Products & Technologies 185 MW *All figures are as of M
Slide 10: Strategically Located Refineries
Strategically Located Refineries Refining Capacity in MMTPA HMEL Mumbai 9.5 Refinery (JVC) Visakhapatnam 11.0 Total HPCL 20.5 HMEL (JVC) 11.3 Total (marketing rights) 31.8 Mumbai Visakh Refinery Refinery Lube Refinery (Mumbai) : 428 TMTPA Mangalore Refinery (JVC) • Coastal Refineries • Pipeline conn
Slide 11: Key Features of Refineries
Key Features of Refineries Mumbai Refinery Commissioned in 1954 with crude processing capacity of 1.25 MMTPA, currently augmented to 9.5 MMTPA capacity Upgraded to produce BS –VI fuel grade Diverse product portfolio Largest Lube Refinery accounting ~ 40% of India’s total LOBS production 80
Slide 12: Pan India Network
Pan India Network Distribution Network Cross country POL Aviation Service POL Depots LPG Plants Lube blending pipeline Terminals Facilities Plant 17 44 73 55 54 5 Customer Touch Points Retail Outlets LPG Distributors Industrial Lube Door to Door CNG Dispensing EV Charging Distributors Delivery Vehic
Slide 13: Cross Country Pipeline Network
Cross Country Pipeline Network LPG Pipeline Barwala–Hisar Liquid POL Pipeline Ramanmandi- Bathinda P/L *17 cross country Bahadurgargh- Trikikalan P/L Ramanmandi – Bahadurgarh P/L Pipelines with total Bathinda Refinery Pipeline network of Awa – Salawas P/L Bahadurgarh Delhi 5,132 km Ajmer Kanpur Mund
Slide 14: Focus on Research and Development
Focus on Research and Development R&D Achievements New Technologies / Products demonstrated 55 Patents applied 473 Total Patents granted 175 R&D Technology and Products Technology / Products : Under areas of Fuel Additives, Catalysts, Bio products, Process chemicals, Hygiene Products, Specialty Prod
Slide 15: Digitally Enabled Operations
Digitally Enabled Operations Refineries Pipelines Pipeline Intrusion PDMS DCS Detection system (PIDS) Pipeline Reliability & Field Security Maintenance Maximo Inputs - Inventory Management Process History data base P/L Integrity Batch Mgmt. Scheduling by Software Software (PIMS) Supply Locations Cen
Slide 16: Emphasis on Talent Management
Emphasis on Talent Management Induction Capability Building Structured Induction process Behavioural / Functional to Learn, Grow and Lead and Technical training SAMAVESH Recognition Leadership Rewarding Values for Building Strong driving Performance Leadership Pipeline
Slide 17: Joint Ventures and Subsidiaries
Joint Ventures and Subsidiaries Oil refining Oil supply infrastructure and marketing Joint venture in Natural gas infrastructure & marketing Subsidiaries Biofuels Natural Gas Upstream Overseas Marketing GITL- GSPL INDIA TRANSCO LIMITED Introduction of new technology and growth through Partnerships G
Slide 18: CSR: Touching Lives Every Way
CSR : Touching Lives Every Way CSR : Touching lives Every Way ~30 lakh lives benefitted since implementation of CSR Rules, 2014
Slide 19: Performance Overview
Performance Overview 16
Slide 20: Performance Highlights: Q1 2023-24
Performance Highlights: Q1 2023-24 Decadal High Quarterly Standalone Profit at Rs. 6,204 Crore - Consolidated Net Profit Rs. 6,766 Crore Highest Ever Quarterly Market Sales of 11.85 MMT - Growth of 10.7% - Market Share Gain in Motor Fuels Highest Ever Quarterly Refinery Thruput of 5.40 MMT - 106% Ca
Slide 21: Quick Snapshot: FY 2022-23
Quick Snapshot : FY 2022-23 Highest Revenue from Operations Highest Crude Thruput Rs. 4,66,192 Crore 19.09 MMT Highest Pipeline Highest Market Sales Thruput 43.45 MMT 23.25 MMT Net Loss Refinery GRM Rs. 8,974 Crore US$ 12.09 / bbl
Slide 22: Return to Stakeholders
Return to Stakeholders Return to shareholders Market Cap (Rs. Crore)* Share buy-back Program Bonus share Issue 2 38,833 First & only PSU to do Open Market buy-back Sep 2016 (2:1) 47.99% increase from 28th Oct 20 8,594 254.25 6 CAGR 186.75 171.80 July 2017 (1:2) 16.3% 28/10/20 04/11/20 14/05/21 HPCL
Slide 23: Strengthening of Infrastructure across value chain
Strengthening of Infrastructure across value chain Area of Value Chain Investment (Rs Cr.) Refining Capacity Expansions 31,000 Expansion of Pipeline Network 8,500 LPG Plants / POL Depots / Capacity Augmentations 5,800 Expansion of CGD Network 2,000 Enhancing Biofuels & Renewable capacities 1,000 Exp
Slide 24: CAPEX- Investing for the Future
CAPEX- Investing for the Future Capex (Rs. Crore) 4.00 16,772 16,085 3.50 Long Term Debt-Equity Ratio 14,630 14,043 3.00 12,661 2.50 2.00 7,023 1.44 1.50 1.00 0.51 3,399 0.50 - Mar 17 2017-18 2018-19 2019-20 2020-21 2021-22 2022-23 Q1 23-24 Value Creation thru Effective Leveraging (Now past Peak Deb
Slide 25: Future Plans
Future Plans 16
Slide 26: Enhancement of Refining & Marketing Infrastructure
Enhancement of Refining & Marketing Infrastructure Sectoral Overview – Oil HPCL -Capacity expansion to meet growing demand Oil Demand by Scenario: India (Unit : Million Barrels per Day) 6.7 5.9 4.7 2021 2030 STEPS APS • New 9 MMTPA Refinery and Petrochemical project at Barmer in Rajasthan Source: Wo
Slide 27: Pursue growth opportunities in Natural Gas
Pursue growth opportunities in Natural Gas Sectoral Overview – Natural Gas HPCL Participation in entire value chain Natural Gas Demand by Scenario: India (Unit : Billion Cubic Meters) 115 110 66 2021 2030 STEPS APS • 5 MMTPA LNG Import Terminal at Chhara Port in Gujarat Source: World Energy Outlook
Slide 28: Foraying into Petrochemicals
Foraying into Petrochemicals Sectoral Overview -*Petchem HPCL Capacity Building & Marketing Plans Petchem Demand : India (Unit : Million Metric Tonnes) 69 44 2021-22 2029-30 *Petrochemicals considered : Polymers ( polyethylene/poly propylene/PVC), Aromatics • 9 MMTPA Refinery and Petrochemical Capac
Slide 29: Expanding Footprints in Alternate Energy
Expanding Footprints in Alternate Energy Sectoral Overview - Renewables HPCL – Participation in Emerging Opportunities Renewables Generation : India (Unit : TWh) 956 990 337 2021 2030 • Expanding footprints in Renewables STEPS APS • Ethanol blending (E20) targeted to reach 20% by 2025 Source: World
Slide 30: Thrust on R&D, Innovation and Digital Technologies
Thrust on R&D, Innovation and Digital Technologies Own State-of-the Art R&D Centre Leveraging Innovation Leveraging Digital Technologies • Curating future technologies • ‘Idea Junction’ to capture Innovative • Digital strategy in place • Working towards developing 22 Ideas • Digital initiatives are
Slide 31: HPCL Net Zero Plan: Development of Roadmap
HPCL Net Zero Plan: Development of Roadmap HPCL Net Zero plan - Announcement on 31st Jan 2022 • HPCL is committed to conduct business with an objective of preserving the environment and contributing to sustainable development. • Plans underway to achieve Net zero Scope 1 & 2 emissions by 2040.
Slide 32: Continued ESG Focus
Continued ESG Focus Environment Management Systems (EMS) by major Locations Emission monitoring Systems Ethanol blending of 11.94% in Q1 of FY 2023-24 Over 2GW of renewable energy in planning Sustainability agenda Environment aligned with UN SDG 3.81 crore LPG Cylinders under PMGKY Suppo
Slide 33: Projects towards meeting energy needs and customer choices
Projects towards meeting energy needs, providing customer choices & future proofing Refining • Visakh Refinery Modernisation (15 MMTPA) • 1.1 MMTPA HSFO at VR ~1,10,000 • 9 MMTPA Refinery & Petchem, HRRL • SPM at VR, bitumen evacuation line MR • CFBC Boiler at VR and COT in MR • Lube HCU,SDA at MR &
Slide 34: Robust Capital Expenditure Plans
Robust Capital Expenditure Plans (Rs. Crore) Capex 2023-24 Business Segment 2023-24 19% 36% Refinery with R&D 5,000 Marketing Infrastructure 4,500 6% Natural Gas 1,000 7% Bio-Fuels & Renewables 800 32% Equity investments in 2,700 JVC/Subsidiaries Refinery with R&D Total 14,000 Marketing Infrastructu
Slide 35: Experienced Management Team
Experienced Management Team Mr. Pushp Kumar Joshi, Chairman & Managing Director • He is a Doctorate in Human Resource Management, Post Graduate in Human Resource Management from XLRI, Jamshedpur and Bachelor of Law from Andhra University. Prior to this, he was Director, HR of the Corporation from Au
Slide 36: Disclaimer
Disclaimer The information contained in this material have been obtained from sources believed to be reliable, but no representation or warranty express or implied, is made that such information is accurate or complete and it should not be relied upon as such. The information contained in this mater
Slide 37: Thank You
Thank You
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