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Page 1: Corporate presentation feb2011

Corporate PresentationCorporate Presentation

Page 2: Corporate presentation feb2011

2

Disclaimer

This Presentation is for information purposes only and does not constitute an offer, solicitation or advertisement with respect to the purchase or sale of any

security of Oil and Natural Gas Corporation Limited (the "Company") and no part of it shall form the basis of, or be relied upon in connection with, any contract

or commitment whatsoever.

This Presentation is being furnished to you solely for your information and may not be reproduced, redistributed or published, directly or indirectly, in whole or

in part, to any other person.

This document contains certain forward-looking statements relating to the business, financial performance, strategy and results of the Company and/or the

industry in which it operates. Forward-looking statements are statements concerning future circumstances and results, and any other statements that are not

historical facts, sometimes identified by the words "believes", "expects", "predicts", "intends", "projects", "plans", "estimates", "aims", "foresees", "anticipates",

"targets", and similar expressions. The forward-looking statements, including those cited from third party sources, contained in this Presentation are based on

numerous assumptions and are uncertain and subject to risks. A multitude of factors including, but not limited to, changes in demand, competition and

technology, can cause actual events, performance or results to differ significantly from any anticipated development. Neither the Company nor its affiliates or

advisors or representatives nor any of its or their parent or subsidiary undertakings or any such person's officers or employees guarantees that the

assumptions underlying such forward-looking statements are free from errors nor does either accept any responsibility for the future accuracy of the forward-

looking statements contained in this Presentation or the actual occurrence of the forecasted developments. Forward-looking statements speak only as of the

date of this presentation. As a result, the Company expressly disclaims any obligation or undertaking to release any update or revisions to any forward-looking

statements in this presentation as a result of any change in expectations or any change in events, conditions, assumptions or circumstances on which these

forward-looking statements are based.

No representation or warranty (express or implied) is made as to, and no reliance should be placed on, the accuracy, completeness or correctness of any

information, including any projections, estimates, targets and opinions, contained herein, and no liability whatsoever is accepted as to any errors, omissions or

misstatements contained herein and, accordingly, none of the Company or its affiliates, its advisors or representatives or any of its or their parent or subsidiary

undertakings or any such person's officers or employees accepts any liability (in negligence or otherwise) whatsoever arising directly or indirectly from the use

of this Presentation.

By attending this Presentation you acknowledge that will be solely responsible for your own assessment of the market and the market position of the

Company and that you will conduct your own analysis and be solely responsible for forming your own view of the potential future performance of the

Company's business.

This Presentation speaks as of its date. Neither the delivery of this Presentation nor any further discussions of the Company with any of the recipients shall,

under any circumstances, create any implication that there has been no change in the affairs of the Company since such date.

This presentation may not be used, reproduced, copied, distributed, shared, or disseminated in any other manner. This presentation does not constitute an

offer or invitation to purchase or subscribe for any shares in the Company and neither any part of it shall form the basis of or be relied upon in connection with

any contract or commitment whatsoever.

Page 3: Corporate presentation feb2011

3

ONGC Group: An Introduction

Significant role in defining India’s hydrocarbon landscape

Largest domestic exploration acreage and mining lease owned (PEL:51%, ML: 67% and

reserves 58%)(1) as on March 31, 2010

Significant overseas investments with 34 projects in 15 countries(2)

India’s Flag Bearer

for Energy Security

With Global Footprint

One of India’s most profitable enterprise (3)

Most valuable Indian public sector enterprise by Market Capitalisation (4)

MCap of INR 2,517 bn(4), Revenues: INR 1,086 bn, EBITDA: INR 475 bn; Profit:INR 194 bn in FY10

Produced 60.9 mtoe of oil / oil equivalent gas, refining capacity of 12.5mtpa and extracted

3.4mtpa of LPG, Naptha etc from gas / condensate in fiscal year 2010

Global Size & Scale

Presence across the hydrocarbon value chain and strength in Exploration & Production

In-house capabilities in all facets of upstream oil and gas business

Presence across E&P, Refining, Petrochemicals, Power, LNG, & diversification into new

energy sources

Integrated Oil & Gas

Company

Credit rating of A2 (Stable) from Moody’s and LAAA from ICRA

# 1 E&P company in the world(5) ; # 18 energy company in the world(5)

# 155 in the Forbes Global 2000 list and a Fortune 500 Company

Globally Acclaimed

1. Source: MoPNG; PEL – Petroleum Exploration License, ML – Mining Lease; Reserves only for ONGC operated fields

2. Other than the 34 projects mentioned above there are 6 projects/blocks which are currently being relinquished by the ONGC Group

3. Based on Net Profit For Financial Year Ending March 31, 2010.

4. As on Feb 1, 2011, Bloomberg

5. Platts

Page 4: Corporate presentation feb2011

(71.6%)

(100%)(49%)

Overseas E&POverseas E&P

ServicesServices

(100%)

RefineryRefinery Value-chainValue-chain PowerPower

(50%)

(12.5%)

(23%)

(21.5%)

(26%)

(49*%)(23%)

(26%)

ONGC Amazon Alaknanda Ltd

SEZSEZ

* OMPL: 46% ONGC & 3% MRPL

Primary SubsidiariesPrimary SubsidiariesJoint VenturesJoint Ventures

(100%)

(100%) (50%)

E&P, the corebusiness

ONGC Group: Presence Across The “ EnergySpectrum”

Indian E&PIndian E&P

4

Jarpeno Ltd

Carabobo One AB

(100%)

(100%)

Page 5: Corporate presentation feb2011

5

ONGC Group: A Rich Heritage

2010

ONGC Group is evolving into an integrated Oil & Gas Company with a Global Footprint

1956: Inception of Oil &

Natural Gas Commission

1974: 1st offshore discovery -

Bombay High

1999: Stake sale by GOI to

IOC (10%), GAIL (2.5%)

1993/94: Divestment of 2%equity by GoI; 2% offered to

employees

2010: CBM, Carabobo (Venezuela)

2010: Maharatna Status

2006: OPAL, OMPL, MSEZ & OTPC

2004: FPO (10% GOI Divestment)

2003: Production in Sudan &

Vietnam begins

2003: Acquired MRPL

2008: Acquired Imperial Energy

Group CAGR (FY02–FY10) (1)

Turnover: 20.8%

Net Profit: 15.3%

1965: Established OVL

(1) CAGR figures for ONGC Group

1997: Navratna Status

1950

2000

2011: Shale Gas

Page 6: Corporate presentation feb2011

6

Key Highlights

Significant International Footprintwith Demonstrated Track Record

India’s National Oil Champion

World Class Operations and LargeReserve Base

Integrating Across E&P andEnergy Value Chain coupled with

New Growth Diversification

5

4

3

1

Experienced Management Team;With Successful Track Record &

Robust Financials

“Poised for theFuture”

26

ONGC is Well Positioned to Deliver Long Term Growth

Industry Fundamentals Remain Intact

Page 7: Corporate presentation feb2011

IPE Brent Close (US$)

-

20

40

60

80

100

120

140

2006 2007 2008 2009 2010 2011

Bre

nt

(US

$/b

bl)

IPE Brent Close (US$)

5yr avg 76.2/bbl

7

Macroeconomic Environment Overview

World Economy is on the Path to Recovery…

(6)

(4)

(2)

0

2

4

6

8

10

2001 2003 2005 2007 2009 2011 2012

.. Supported Primarily by Emerging Growth Engines

... Resulting in Global Energy Consumption Growth Crude Price Trends

Source: IMF- Overview of the World Economic Outlook Projections, Jan 25, 2011 Source: IMF- Overview of the World Economic Outlook Projections, Jan 25, 2011

Source: Current price as on Jan 31, 2011 as per BloombergSource: BP Statistical Review of World Energy June 2010

%

Emerging

World

Developed

(btoe)

6.5%

4.5%

2.5%

Current: $99/bbl

9.7%

8.4% 8.4%

10.3%

9.6% 9.5%

CY2010E CY2011E CY2012E

Page 8: Corporate presentation feb2011

525970727778878789132

390

647

US

Russia

Iran

Canada

Japan

UK

Germ

any

Saudi

Ara

bia

Italy

Mexic

o

UA

E

India

8

Robust Domestic Fundamentals

India’s Oil and Gas Consumption is Amongst the Highest in the World

India is the 4th largest Oil consumer in the World

Gas Consumption in 2009 (bcm)Oil Consumption in 2009 (mmt)

Sources : BP Statistical Review of World Energy June 2010 Sources : BP Statistical Review of World Energy June 2010

97104104114122125149198

405

843

US

Chin

a

Japan

India

Russia

Saudi

Ara

bia

Germ

any

South

Kore

a

Bra

zil

Canada

Comparatively Low Per Capital Consumption Implying Significant Long Term Consumption Growth

(mtoe)

Sources : World Energy Outlook 2009 Sources : World Energy Outlook 2009

Consum

ption

(MT

OE

)

Page 9: Corporate presentation feb2011

9

Untapped Opportunities in India

~1.79 mn sq. km. of sedimentary basins in India

– Only 22% of basins well explored

~1.35 mn sq. km. of deep waters sedimentary area

Explored,

22%

Unexplored,

12%

Exploration

Initiated,

44%

Poorly

Explored,

22%

Domestic Resources Remain Significantly Under-explored (3)

Despite Increasing Production, India Remains a Net Importer of Crude (1)

Significant increase in Net Crude Imports over the last 10 years (153 mmt in FY10)

Import value currently stands at INR 3.7 tr (FY10)

One of the largest net importers of oil globally, imports ~77% of its oil needs based on consumption (1)

1) Source: MoPNG2) Sources : BP Statistical Review of World Energy June 20103) Source: DGH report 2010

0.44% of World’s Oil reserves

0.60% of World’s gas reserves

India’s Hydrocarbon Reserves are a Small Fraction of Global Reserves (2)

India,

0.6% Iran,

16%

Qatar,14%

FSU,

31%

ROW,15%

Russia,

24%

India,0.4%

OPEC,

77%

ROW,

22%

Oil Gas

Page 10: Corporate presentation feb2011

Indian National Oil Champion : ONGC DomesticOperations

1

2

3

4

5

6

7

8

9

10 11

Western Onshore 7 3

Western Offshore 2 6

Assam Shelf 2 1

Tripura 2 0

KG Offshore 2 2

KG Onshore 6 2

CauveryOnshore

1 3

Principal Producing Areas

Discoveries SinceFY09

Prospects Pools

India Footprint

Highest share of hydrocarbon acreage in India

Discovered 6 of 7 Domestic Producing Basins (1)

21 new notified discoveries in FY10 & 19 in FY11 (2)

All Crudes are Sweet and large portion being light

INR158 bn of capital / exploration in progress(3)

INR592 bn of capex plan over FY11 and FY12 (4)

1) Source DGH. Category 1 sedimentary basins2) Through Jan 27, 20113) As of FY104) As approved by the board of directors

1,000 km

1 Himalaya & Ganga Valley 14.9

2 Rajasthan 0.2

3 Cambay 9.4

Mumbai Offshore 40.6

4 Kutch - Saurashtra 43.8

Kerala - Kinkan 108.8

Krishna - Godavari 101.3

5 Cauveri 84.9

Mahanadi - Bengal 57.6

6 Assam - Arakan 16.6

7 Mahanadi - Bengal - Purnea 6.8

8 Satpura - S.Rew a - Vindhyan -

Pranhita - Godavari 15.7

9 Krishna - Godavari 4.9

10 Cauveri 5.4

11 Andaman - Nicobar Offshore 70.3

10

Mahanadi 1 0

Source: DGH; All data as on March 31, 2010.Discoveries as of Jan 27, 2011

ONGC Operated Area(1,000 km2)

Region

Page 11: Corporate presentation feb2011

ONGC

51%

RIL

28%

Others

15%

Cairn

4%

OIL

2%

11

ONGC: Domestic Strength in Acreage andProduction

PEL Area (Sq. km)ML Area (Sq. km)

Crude Oil Production(FY10)

Natural Gas Production(FY10)

Source MoPNG ; ONGC figures include its share in JV

1) Note: PEL – Petroleum Exploration License, ML – Mining Lease; Includes NELP and nomination blocks2) Source: DGH

ONGC

67%

OIL

13%

Cairn

10%

Others

9%

RIL

1%

OIL

11%

Others

10%

ONGC

79% OIL

5%

Others

41%ONGC

54%

Strong Reserves Accretion

Highest in last 2 decades in

ONGC operated domestic

fields

Domestic ReserveReplacement Ratio (RRR)

RRR more than 1

Note: Excludes JVs ; RRR for 3 P reservesNote: Excludes JVs ; Reserve accretion for 3P

ONGC awarded more than 50% of NELP blocks

Page 12: Corporate presentation feb2011

4 Under Development Assets 20 Exploration Assets9 Producing Assets

Cuba

Venezuela

Colombia

Brazil

Vietnam

Myanmar

Russia

Iran

Syria

Iraq

EgyptSudan

Nigeria

Libya

Nigeria JDZ

Significant International Footprint (OVL)

34(1) projects across 15 countries• Sole Operated (11); Jointly Operated (6) and

Non Operated (16) 20 years of 1P and 40 years of 2P reserves Production accounts for ~11% of India’s FY10 production

Access to International Partners / NOCs Amongst the largest overseas investors from India –

INR535 bn Net worth of INR116 bn

2

1 1

1 5

1 5

1 1

1

1

2

2 11

2

1 1

2

1

Note: 34th Asset is Sudan’s 741km long product pipeline(1) Other than the 34 projects mentioned above there are 6 projects/blocks which are currently being relinquished by the ONGC Group12

Page 13: Corporate presentation feb2011

Strong Relationship and Access to InternationalPartners / NOC

Partnership Across Regions…… and with International NOCs and Oil Companies…

13

Sudapet

Sodeco

SinopecShell

Repsol YPF

KOGASMOGE

BP

CNPCDaewoo

Exxon

PV

Petronas

PDVSA

Statoil

IOCL

OIL

GAIL

BPCL

Petrobras

ECOPETROL

RosneftTotal

Page 14: Corporate presentation feb2011

14

OVL : Key Investments

GNOP (25%)

CNPC –40% , Petronas –30%,

Sudapet –5%

Produced Oil of 2.126mmt during

FY10

Block 5A (24.125%)

Petronas 67.9%, Sudapet 8%

Produced Oil of 0.247mmt during

FY10

Block 6.1 (45%)

BP (Operator) -35%, PV-20%

Produced Oil of 0.042mmt during FY10

Produced Gas of 1.97bcm during FY10

OVL 20% stake

Exxon (Operator)–30% , Sodeco –

30% , Rosneft (20%)

Produced Oil of 1.532mmt during

FY10

Produced Gas of 0.39bcm during

FY10

Russia:Sakhalin-I

Sudan Vietnam

Venezuela Colombia Syria

AFPC (Himalaya Energy (Syria) B.V. –

33.3% to 37.5%)

Himalaya Energy is a 50%-50% JV of

OVL and CNPC

Shell – 66.7% to 62.5%

Produced Oil of 0.718 mmt during FY10

MECL (50%)

Sinopec (50%)

Produced Oil of 0.409 mmt during FY10

San Cristobal (40%)

CVP (60%)

Produced Oil of 0.704 mmt during FY10

Page 15: Corporate presentation feb2011

15

OVL : Key Investments (Cont’d)

Deepwater offshore Block

ONGC 15%, Shell 50%,

Petrobras 35%

First oil production on July 12th

2009

Production of 0.192 mmt in

FY10

Ownership interest developing

Carabobo blocks Consortium:

ONGC 11%, Oil 3.5%, IOCL

3.5%

Repsol 11%, Petronas11% &

PDVSA 60%

Producing Asset in West

Siberia

Acquired in Jan 2009 for

US$2.1 bn

Production of 0.543 mmt in

FY10

Extension of one of the field

discovered in 2010 to be put

on production in the near term

ImperialEnergy

BC-10, BrazilCaraboboVenezuela

Page 16: Corporate presentation feb2011

16

ONGC Group : Large and Growing Reserve Base

Reserve Base (As Per Management Estimates)

OVL

29%

ONGC

71%

mtoe

1867371P

3P

2P

3981,175

357969

OVLONGC

Diversified Reserve Base

ONGC

78%

OVL

22%

OilGas

mtoe

Note: The management estimates of the reserves of ONGC Group are under review by independent third party and maybe subject to changes. We intend to make the outcome of that review publicly available

Page 17: Corporate presentation feb2011

26.1 27.9 27.9 27.1 26.5

4.65.8 6.8 6.6 6.5

FY06 FY07 FY08 FY09 FY 10

ONGC (incl. JVs) OVL

25.0 24.9 25.1 25.5 25.6

1.8 2.2 2.0 2.2 2.4

FY06 FY07 FY08 FY09 FY 10

ONGC (incl. JVs) OVL

17

ONGC Group: Operating Performance

30.733.7 34.7 33.6 33.0

26.8

27.027.1

27.7 28.0

57.4

60.761.8 61.2 60.9

FY06 FY07 FY08 FY09 FY 10

Oil Gas

Steady Production With production from OVL Increasing Domestic Production

(in MTOE)

Note: ONGC includes JVs

Offshore,

70%

Onshore,

30%

Oil (FY10)

Gas (FY10)

Offshore,

77%

Onshore,

23%

Page 18: Corporate presentation feb2011

18

Improved Recovery Through Prudent Measures

Recovery Factorimproving from 28% inFY01 to 33.5% in FY10

21 IOR/EOR &Redevelopment projects

worth ~INR209 bn ofinvestment upto FY10

Fast track developmentof discoveries

Strong impetus on EOR /IOR Process to improveglobal recovery factor

by 2020

Cumulative oil gain ofmore than 56 mmt

6 Projects underimplementation

15 Successfullycompleted Projects

ArrestingProduction

Decline

ArrestingProduction

Decline

Page 19: Corporate presentation feb2011

19

E&P Infrastructure And Capabilities

28 Seismic SurveyCrews

77 Drilling Rigs58 Workover Rigs107 Well Stimulation

Units

Inte

gra

tio

nA

cro

ss

E&

PV

alu

eC

hain

198 OffshoreInstallations

25 Offshore SupplyVessels

240 OnshoreInstallations

Uran, Maharashtra

Handling Capacity: 20 mmtpa Oil & 16 mmscmd Gas

Products: LPG, ARN, SKO, ATF, Propane, HSD

Ankleshwar and Gandhar, Gujarat

Handling Capacity: 0.1 mmtpa Oil & 1 mmscmd Gas

Products: LPG, NapthaTatipaka, Andhra Pradesh

Handling Capacity: 0.1 mmtpa Oil

Products: Naptha, SKO, HSD,

Fuel Oil

Kuthalam, Kaveri, Tamil Nadu

Products: Naptha, SKO,

heavy cut

Production &Transportation

Facilities(1)

Exploration Facilities(1)

ProcessingInfrastructure

6,707 km of sub-sea pipeline

26,598 km of pipelines in India

~34% of the Entire Nation’s

Crude Pipeline

Hazira, Gujarat

Handling Capacity: 42 mmscmd Sour Gas

Products: LPG, C2-C3, LAN

(1) Does not include 6 seismic crews, 47 drilling rigs, 21 workover rigs, 1 simulation vessel and 36 OSV/SMSVs charter hired

Page 20: Corporate presentation feb2011

20

Integration into Refining

Current Plant

Current Plant

Expansion Project

MRPL is Well Positioned to leverage Improving Refining Fundamentals

Overview

StrongFinancials

StrongTechnological

Capabilities

IntegratedInfrastructure

Expansion

1. MRPL: Mangalore Refinery and Petrochemical Limited2. 2003 till February 1, 20113. As on February 1, 2011

Flexibility to process diverse crude varieties (24-46 API)

Designed to maximize middle distillates

Capability to produce high grade fuels

Captive Power Plant with capacity of 112.5 MW

All weather port at Mangalore

Mangalore-Hassan-Bangalore product pipeline

Expansion to 15 MMTPA at cost of INR 121.6bn (scheduled completion

in Dec, 11)

Revenue of INR360 bn in FY10 ; PAT of INR11 bn

Strong Credit rating - ICRA “IR AAA” & CRISIL “CCR AAA”

Acquired MRPL(1) in March ’03 (holds 71.6%)

– Turned around in less than 4 quarters post acquisition

– Market value up 737%(2); Market Cap of INR116 bn (3)

Capacity: 11.82 mmtpa; T-Put: 12.5 mmtpa and 106% Utilization in FY10

Page 21: Corporate presentation feb2011

ONGC : 26%

GSPC : 5%

GAIL : 19%

SIs/FIs: 50%

21

Integration Across Energy Value Chain

ONGC Mangalore Petrochemicals Ltd

Incorporated in FY07

Aromatic Petrochemical Complex for manufacturing paraxylene

Scheduled completion Q4, 2012

Mangalore SEZ Limited

Incorporated in FY06

Proposed SEZ for petrochemical industries

Scheduled completion Q3, 2013

ONGC : 23%

GIDC : 26%

ONGC : 26%

KIADB : 23%

ILFS+KCCI: 51%

OPAL

Incorporated in FY07

Dual feed cracker & polymer plants

Scheduled completion Q3, 2013

ONGC : 46%

MRPL : 3%

ONGC Tripura Power Company

OTPC incorporated in FY2005

726.6 MW (2x363.3) Power Project in Tripura

Scheduled Completion Q2, 2012

ONGC : 50%

ILFS: 26%

Govt. Tripura: 0.5%

Others: 23.5%

Dahej SEZ Limited

Incorporated in FY05

Proposed SEZ for petrochemical industries

Scheduled completion Q3, 2011

Page 22: Corporate presentation feb2011

22

New Growth Initiatives : Others

Wind Farms

50 MW Wind Farm commissioned in Sep FY08 - in Gujarat

Estimated financial benefit to the tune of INR 450 mn per annum

Plan approved for another 100 MW Wind Farm in Rajasthan

Coal Bed Methane

Operating in 5 CBM blocks

CBM production from Parbatpur, Jharia (Pilot project) commenced from Jan, 2010

MoU with Arrow Energy, Australia

CBM

Underground Coal Gasification

Collaboration with Skochinsky Institute of Mining (SIM), Russia

Site at Vastan, Gujarat selected

Environmental clearance obtained for the Pilot Project in Feb, 2010

Mining Lease awaited from GoI

UCG

Shale Gas Integrated Pilot project launched in Damodar valley (eastern India) in April, 2010 In association with Schlumberger First well spudded on 21st Sept 2010; Created exploration landmark on Jan 25, 2011 as Gas

flowed from the R&D well in Durgapur

Shale

Gas

Page 23: Corporate presentation feb2011

Key Industry Themes

Subsidy Sharing Mechanism

Oil & Gas Production

from Overseas Assets

Enhance Production

(IOR/EOR)

Forge New Partnerships (Eg.

Recent Framework Agt.)

Equity Oil –

Inorganic Growth

Integration Projects

23

Page 24: Corporate presentation feb2011

Visionary Leadership and Strong ManagementTeam

Management Team with significant experience in the Oil & Gas industry

Chairman & Managing DirectorShri A.K.Hazarika*

Functional Director(Full Time)

Functional Director(Full Time)

GovernmentNominees

GovernmentNominees

IndependentDirectors

IndependentDirectors Special InviteesSpecial Invitees

Shri R.S.ButolaMD, OVL

Shri R.S.ButolaMD, OVL

Shri Sudhir BhargavaAddl. Secretary, MOP&NG

Shri Sudhir BhargavaAddl. Secretary, MOP&NG

Smt.L.M.VasAddl. Secretary, MOF

Smt.L.M.VasAddl. Secretary, MOF

Shri S.BalachandranShri S.Balachandran

Shri S.S.RajsekarShri S.S.Rajsekar

Shri Santosh NautiyalShri Santosh Nautiyal

Director (Onshore)Shri A.K.Hazarika

Director (Onshore)Shri A.K.Hazarika

Director (Offshore)Shri S.Vasudeva

Director (Offshore)Shri S.Vasudeva

Director (Finance)Shri D.K.Sarraf

Director (Finance)Shri D.K.Sarraf

Director (T&FS)Shri U.N.Bose

Director (T&FS)Shri U.N.Bose

Smt. Anita DasSmt. Anita Das

Board Of Directors

24

* Officiating Chairman and Managing Director

Page 25: Corporate presentation feb2011

475

421434

FY08 FY09 FY10

25

ONGC Group: Consolidated Financial Performance

Total Revenues (INR in bn)

1,0861,0361,106

FY08 FY09 FY10

17.9%

19.2%

17.9%

PAT (INR in bn)

194199 198

FY08 FY09 FY10

39.2%40.6%

43.7%

EBITDA (INR in bn)

Cash from Operations (INR in bn)

290290288

FY08 FY09 FY10

Improving EBITDA Margins

Stable Cash flows

Sustained Performance

Maintaining Profitability

Page 26: Corporate presentation feb2011

0.01x0.01x

0.05x

FY08 FY09 FY10

26

ONGC Group: Consolidated Financial Performance(Cont’d)

Dividend (INR in bn), Payout Ratio (%) Debt Equity Ratio (INR in bn)

90.7292.91 92.55

FY08 FY09 FY10

916

774

1,006

FY08 FY09 FY10

Networth (INR in bn) EPS (INR / share)

71

68 68

36.6%

34.4%34.2%

FY08 FY09 FY10

Strong Reserves

High Dividend Payouts

Page 27: Corporate presentation feb2011

Rs 161

Rs 130

9M FY10 9M FY11

Rs 71

Rs 31

Q3 FY10 Q3 FY11

Rs 331

Rs 281

9M FY10 9M FY11

Rs 506

Rs 454

9M FY10 9M FY11

Rs 186Rs 154

Q3 FY10 Q3 FY11

ONGC: Standalone 9 month FY11 Result Overview

Revenue growth of 11.4% during nine month

period ended December 31, 2010

Q3 revenue up by 21.4%

Net Profit up by 24% during nine month period

ended December 31, 2010

Q3 Net Profit up by 132%

For 9M FY11Gross Realisation of US$83.00/bbl

For 9M FY11 Net Realisation of US$58.72 /bbl

Revenue (INR bn)

Net Profit (INR bn)

11%

21%

24%132%

Overview

27

EBITDA (INR bn)

18%

45%

Rs 135

Rs 93

Q3 FY10 Q3 FY11

Page 28: Corporate presentation feb2011

28

The Subsidy Impact ….

Subsidy and Impact of Subsidy on PAT (INR in bn)

Subsidy sharing mechanism devised by Government of India in 2004

Under-recovery is on the production from ‘nominated’ fields

ONGC Group continues to realize international prices on production from PSC JVs and OVL

There is no surrender of ‘Profit Petroleum’ to Government on revenue from nominated fields

Overview of the Subsidiary Mechanism

158

66 73

116

282

128

2009 2010 9M FY11

Page 29: Corporate presentation feb2011

29

Corporate Governance and CSR Policies

First ‘Sustainability Report’ as per GRi-G3 guidelines published

Health Safety and Environment Framework in place

CSR allocation increased to 2% of net profit in FY10 from 0.75%

ONGC Whistle Blower Policy in place

Robust IT Infrastructure in place

Environmental Focus Whistle Blower PolicyCSR Initiatives

Page 30: Corporate presentation feb2011

Thank youThank you