Reliance Industries Limited · NSE:RELIANCE

Reliance Industries — Merger or Acquisition (February 2022)

16 slides from Reliance Industries's merger presentation, Feb 11, 2022

  1. Slide 1: Reliance Industries Limited – Letter to Stock Exchanges

    • Reliance Industries Limited February 11 , 2022 BSE Limited National Stock Exchange of India Limited Phiroze Jeejeebhoy Exchange Plaza, Towers,Dalal Street, Plot No. C/1, G Block, Sandra - Kurla Mumbai 400 001 Complex, Sandra (East), Mumbai 400 051 Scrip Code: 500325 Trading Symbol: RELIANCE Dear S

  2. Slide 2: Repurposing Gasification Assets – Unlocking Value on Path to Net Carbon Zero

    Repurposing Gasification Assets – Unlocking Value on Path to Net Carbon Zero February 2022 1

  3. Slide 3: RIL - Positioning for a Net Carbon Zero Future

    RIL - Positioning for a Net Carbon Zero Future 1. RIL has set an ambitious target to achieve Net Carbon Zero by 2035 2. Framework for reducing carbon footprint include  Migration from fossil energy to renewables  Maximizing sustainable materials and chemicals as part of portfolio  Carbon fixation

  4. Slide 4: Jamnagar - Existing Configuration

    Jamnagar - Existing Configuration 1. In Jamnagar Phase III - the low value fuel streams (off-gases) were taken out from the fuel pool and used as feedstock to convert to high value petrochemicals  Built world’s largest off-gas cracker - one of the lowest cost producer of ethylene in the world 2. Re

  5. Slide 5: Jamnagar - Path to De-carbonization

    Jamnagar - Path to De-carbonization 1. Jamnagar energy demand is currently met through fossil fuels including syngas from the gasifiers 2. Fossil fuel can be replaced by renewables, including solar, biomass-based fuel, H2 and changing steam drives to electric drives 3. Jamnagar will progressively tr

  6. Slide 6: Repurpose Gasification Assets - Syngas to Hydrogen & Other Industrial Gases

    Repurpose Gasification Assets - Syngas to Hydrogen & Other Industrial Gases 1. Syngas has potential to produce H2 at a competitive cost of ~$ 1.2 -1.5 / kg 2. With CCUS, RIL can be one of the largest producers of blue hydrogen globally 3. In the interim, till cost of green hydrogen comes down, RIL c

  7. Slide 7: Repurpose Gasification Assets - Syngas to Chemicals (1/2)

    Repurpose Gasification Assets - Syngas to Chemicals (1/2) 1. C1 Chemicals – RIL to build integrated Acetyls complex incl. Methanol, Acetic Acid and its derivatives  India has Acetic Acid demand (partly in PTA) of ~1.2 MMT which is largely met by imports  Additionally, there are imports for Acetic

  8. Slide 8: Repurpose Gasification Assets - Syngas to Chemicals (2/2)

    Repurpose Gasification Assets - Syngas to Chemicals (2/2) 7

  9. Slide 9: Repurpose Gasification Assets - CO2 as an Asset

    Repurpose Gasification Assets - CO2 as an Asset 1. Hydrogen production from gasification provides highly concentrated CO2 stream which provides unique opportunity to capture ~15 MMTPA of CO2 at 30% of typical cost of carbon capture. 2. CO2 can be monetized with application in following products / en

  10. Slide 10: Collaborative Approach to Help Repurpose Gasification Assets

    Collaborative Approach to Help Repurpose Gasification Assets 1. With downstream optionality for Syngas, the nature of risk and returns associated with the gasifier assets will likely become distinct from those of other businesses of the Company 2. Gasification assets are proposed to be transferred t

  11. Slide 11: Gasifier Subsidiary – Carve-out Considerations

    Gasifier Subsidiary – Carve-out Considerations 1. Gasification subsidiary to focus on optimizing syngas production  RIL to utilize syngas along with potential partners to produce value added downstream chemicals 2. Valuation of Gasification asset based on conversion contract construct considering 

  12. Slide 12: Gasifier Subsidiary – Valuation and Potential Upside

    Gasifier Subsidiary – Valuation and Potential Upside 1. Value capture from Gasification distributed between  Gasifier subsidiary through conversion contract  RIL through upside on syngas initially as fuel and later as feedstock 2. Valuation ascribed to Gasifier subsidiary is ~ ₹ 30,000 crore  Cas

  13. Slide 13: New Chemicals Subsidiary - Value Creation Roadmap

    New Chemicals Subsidiary - Value Creation Roadmap 1. New chemicals subsidiary of RIL to focus on value addition to syngas  JV approach to attract technology/licensor partners for individual chemical streams  Balance-sheet light approach to de-risk investments 2. Feedstock security through linkages

  14. Slide 14: Repurposing of Assets – An Ongoing Exercise To Create & Preserve Value

    Repurposing of Assets – An Ongoing Exercise To Create & Preserve Value 1. RIL has continuously optimized its configuration to add highest value to various streams 2. Apart from Gasification assets, some of the other assets which are being repurposed are -  Coker at JMD - being repurposed to produce

  15. Slide 15: Transfer Mechanism - Scheme of Arrangement

    Transfer Mechanism- Scheme of Arrangement 1. Gasification Undertaking* is proposed to be transferred, as a going concern on Slump Sale basis, by way of a Scheme of Arrangement 2. The Appointed Date for the Scheme is March 31, 2022 or such other date as may be approved by the Board 3. The Scheme has

  16. Slide 16: Thank You

    Thank You 15

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