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Worlds fourth-largest

energy consumer

Fourth-largest
consumer of oil and
petroleum products

Sixth-largest LNG
importer in 2011

Indias energy demand is expected to double to 1,464 mtoe by 2035 from 559 mtoe in
2011. Moreover, the countrys share in global primary energy consumption would increase
twofold by 2035

Oil consumption is estimated to reach 4.0 mbpd by FY16, expanding at a CAGR of 3.2 per
cent during FY08FY16F

LNG imports accounted for about one-fourth of total gas demand. India's gas demand is
estimated to more than double over the next five years

Source: US Energy Information Administration (EIA); Ministry of Petroleum & Natural Gas; Aranca Research
Notes: mtoe Million Tonnes of Oil Equivalent; mbpd Million Barrels Per Day, F - Forecast

Growingdemand
demand
Growing

FY08
Oil
demand:
3.1 mbpd;
Gas
demand:
31.5 bcm

India is the worlds fourth-largest


energy consumer (2011); oil and
gas account for 37.3 per cent of
total energy consumption
Buoyant economic growth is the
main factor driving the countrys
energy requirements

Skilled workforce

FY16F

About 139,068 people were


employed in the petroleum
industry at the end of FY12
The University of Petroleum and
Energy Studies in Dehradun,
Uttarakhand, is Asias first and
only energy university

Oil
demand:
4.0 mbpd;
Gas
demand:
165.2 bcm

Advantage
India
Policy support

Supportive FDI guidelines

100 per cent Foreign Direct


Investment (FDI) is allowed in
upstream and private sector
refining projects
The FDI limit for public sector
refining projects has been raised
to 49 per cent

Government has enacted various


policies such as the New
Exploration Licensing Policy (NELP)
and Coal Bed Methane (CBM)
policy to encourage investments
across the industrys value chain

Source: Business Monitor International (BMI); World Oil Outlook 2012; Ministry of Petroleum & Natural Gas; Aranca Research
Notes: mbpd Million Barrels Per Day; bcm Billion Cubic Meters

India is the worlds fourth-largest energy consumer


The country has 5.47 billion barrels of proven oil reserves, with oil production of 0.8 mbpd (FY2013)
India has 43.8 tcf of gas reserves in FY13 and produced 40.7 bcm of gas in FY13

The upstream segment is dominated by the state-owned ONGC

It is the largest upstream company in the exploration and production (E&P)


segment, accounting for approximately 60 per cent of the countrys total oil
output (FY13)

Midstream
segment
Storage and
transportation

IOCL operates a 11,214 km network of crude, gas and product pipelines,


with a capacity of 1.6 mbpd of oil and 10 mmscmd of gas

This is around 30 per cent of the nations total pipeline network

Downstream
segment
Refining,
processing and
marketing

IOCL is the largest company, operating 10 out of 22 Indian refineries

Reliance launched Indias first privately owned refinery in 1999 and has
gained a considerable market share (28 per cent)

Upstream
segment Exploration and
production

Indian oil and gas


sector

Source: US Energy Information Administration, Ministry of Petroleum & Natural Gas; Aranca Research
Notes: bcm Billion Cubic Meters; tcf Trillion Cubic Feet; mbpd Million Barrels Per Day; mmscmd Million Metric Standard Cubic Meter Per Day,
ONGC Oil & Natural Gas Corporation of India; IOCL Indian Oil Corporation Ltd

Oil consumption in India and current reserves

Oil consumption is estimated to expand at a CAGR of 3.4


per cent during FY200816F to 4.0 mbpd by 2016
5.0

Owing to this strong expected growth in demand, Indias


dependency on oil imports is expected to increase further

5,800
4.1
3.9

4.0

3.2
3.0

4.3
3.7

3.9

4.0

3.5

3.1

5,700
5,600
5,500
5,400
5,300

2.0

5,200
5,100

1.0

5,000
4,900

0.0

4,800
FY08 FY09 FY10 FY11 FY12* FY13F FY14F FY15F FY16F

Oil Consumption (mbpd) - LHS


Proven Oil Reserves (mn bbl) - RHS

Source: Ministry of Oil & Natural Gas; BMI forecasts; Aranca Research
Notes: F Forecast; CAGR Compound Annual Growth Rate;
mbpd Million Barrels Per Day; mn bbl Million Barrels; * - Provisional

Imports and domestic oil production in India

In FY13, imports accounted for approximately 80 per cent of


the countrys total oil demand
5.0

Backed by new oil fields, domestic oil output is anticipated


to grow to 1.0 mbpd by FY16

4.5
4.0
3.5
3.0

2.5
2.0

3.3

3.4

3.7

3.2

0.8

0.8

0.8

2.5

2.7

0.7

0.7

0.7

FY08

FY09

FY10

2.7

2.9

3.0

1.0

1.0

1.0

1.5
1.0
0.5
0.0
FY11 FY12* FY13* FY14F FY15F FY16F

Oil Production (mbpd)

Oil Imports (mbpd)

Source: Ministry of Oil & Natural Gas; BMI forecasts; Aranca Research
Notes: F Forecast; mbpd Million Barrels Per Day; * - Provisional

800

1,330

1,330

1,330

1,330

1,330

1,149

1,115

1,000

1,278

1,200

1,330

1,400

1,090

175

150

137
40

46

51

200

47

400

165

600

32

Demand is not likely to simmer down any time soon, given


strong economic growth and rising urbanisation; during
FY200817F, gas consumption is likely to expand at a
CAGR of 21.0 per cent

Proven reserves and total gas consumption in the


country (bcm)

31

With India developing gas-fired power stations,


consumption is up more than 160 per cent since 1995

0
FY08 FY09 FY10 FY11 FY12* FY13* FY14F FY15F FY16F FY17F

Gas Consumption

Proven Gas Reserves

Source: PPAC, Ministry of Oil & Natural Gas; Aranca Research


Notes: F Forecast; bcm Billion Cubic Meters;
CAGR Compound Annual Growth Rate,
* - Provisional

Domestic gas production and imports (bcm)

Domestic production accounts for more than three-quarters


of total gas consumption in the country
Imports constitute the rest; in 2012, the share of imports
was 22.0 per cent

56

India increasingly relies on imported LNG; the country was


the sixth-largest LNG importer in 2011 and accounted for
5.3 per cent of global imports
Indias LNG imports are forecast to increase at a CAGR of
33 per cent during 201217

48

12
32

12

12

13

23

47

52

48

41

32

32

44

47

11
33

51

64

FY08 FY09 FY10 FY11 FY12 FY13* FY14F FY15F FY16F FY17F

Gas Production

Gas Imports

Source: Ministry of Oil & Natural Gas; Aranca Research


Notes: F Forecast; bcm Billion Cubic Meters;
* - Provisional

Crude oil production (mmt)

Total crude oil production was 37.9 mmt during FY13


ONGC accounted for 59.5 per cent of total crude oil
production in India

40

35
30
25

4.8
3.1

4.6
3.2

5.1
3.1

4.7
3.5

9.7

10.5

11.6

3.6

3.6

3.8

3.7

5.3

20
15
10

24.4

26.1

25.9

25.4

24.9

24.4

23.7

22.6

FY06

FY07

FY08

FY09

FY10

FY11

FY12

FY13

5
0
ONGC

OIL

Private/JV

Source: Ministry of Petroleum & Natural Gas; Aranca Research


Notes: mmt Million Metric Tonne; JV Joint Venture

Annual gas production (bcm)

Total gas production was 40.7 bcm during FY13


The contribution from Private/JV has decreased over the
last couple of years.

26.8

22.0

21.6

14.5

7.7
2.3

8.1
2.3

2.4

2.4

2.6

2.6

22.3

22.5

23.1

23.1

23.3

23.5

FY08

FY09

FY10

FY11

FY12

FY13

ONGC

OIL

Private/JV

Source: Ministry of Petroleum & Natural Gas; Aranca Research


Notes: bcm - Billion Cubic Meters;
JV Joint Venture

During FY12, 1,631,000 meters of wells were explored and developed in India
During the same period, 756 wells were drilled in the country
Most upstream drilling and exploration work is undertaken by state-owned oil companies
ONGC is the leader in the upstream segment and accounts for 62 per cent of total crude oil output in India

Exploration activities (FY12*) (000 meters)

Development drilling activities (FY12*)


(000 meters)

129

295

62
87

740

467
409

198
Wells
Onshore

Metreage
Offshore

Wells

Metreage
Onshore

Offshore

Source: Ministry of Petroleum & Natural Gas; Aranca Research


Note: * - Provisional

India has a network of 9,537 km of crude pipeline having a capacity of 138.3 mmtpa
In terms of length, IOCL accounts for 45.9 per cent (4,376 km) of Indias crude pipeline network; moreover, the company
has the countrys longest pipelines, namely the Salaya-Mathura-Panipat Pipeline (1,870 km) and the Haldia-Barauni /
Paradip-Barauni Pipeline (1302 km)
In terms of capacity, ONGC leads the pack with a share of 47.4 per cent (65.5 mmtpa), followed by IOCL at 29.2 per cent
(40.4 mmtpa)

Shares in crude pipeline network by length


(out of 9,537 km)

Shares in crude pipeline network by capacity


(out of 138.3 mmtpa)

6.1%

12.5%
OIL

11.9%
45.9%

OIL
29.2%
ONGC

ONGC

IOCL

47.4%

IOCL

Source: Ministry of Petroleum & Natural Gas; Aranca Research


Notes: km Kilometre; mmtpa Million Metric Tonnes Per Annum

Of the 11,274 km of refined products pipeline network (capacity of 70.7 mmtpa) in India, Indian Oil Corporation (IOC)
accounts for 54 per cent (6,127 km)
Gas Authority of India Limited (GAIL) has largest share (88 per cent or 2,038 km) of the countrys LPG pipeline network
(2,312 km)

Shares in product pipeline network under


operation by length (out of 11,274 km)*

Shares in LPG pipeline network by length


(out of 2,312 km)*

3%
6%

3%

12%
HPCL

15%

IOC

BPCL

54%

GAIL

OIL
PCCK

19%
PMHB

88%

Source: Ministry of Petroleum & Natural Gas; Aranca Research


Notes: km Kilometre; mmtpa Million Metric Tonnes Per Annum, LPG - Liquefied Petroleum Gas, IOC - Indian Oil Corporation,
HPCL - Hindustan Petroleum Corporation Ltd, BPCL - Bharat Petroleum Corporation Ltd, OIL - Oil India Limited, PMHB - Mangalore Hasan Bangalore,
PCCK - Cochin-Coimbatore-Karur
* - As on 30th September 2012

Refinery crude throughput (mmt)

State-controlled entities dominate the downstream segment


as well
India has 19 refineries in the public sector and 3 in the
private sector
In FY13, public sector refineries accounted for 69.4 per cent
of total refinery crude throughput

80.7

90.7

112.2

112.1

FY09

FY10

43.6

48.6

112.5

FY08

Public Sector

49.1

55.5

115.3

120.9

126.2

FY11

FY12

FY13

Private Sector

Source: Ministry of Petroleum & Natural Gas; Aranca Research


Note: mmt Million Metric Tonne

Total crude throughput rose from 130.1 mmt in FY06 to 181.7 mmt in FY13*
In FY13, the sectors total installed refinery capacity was 215.06 mmt
In FY13, IOC emerged as the largest domestic refiner with a capacity of 54.2 mmt

Shares in India's total refining capacity


(FY13)

Total installed capacity (mmt)


250

IOC

200

9%
HPCL
25%

78

80

135

135

FY12

FY13

150

BPCL

13%

100
CPCL
NRL

7%

MRPL
11%

1% 5%

RPL

50
0
Public Sector

13%

Private/JV Sector

EOL
Source: Ministry of Petroleum & Natural Gas; PPAC; Aranca Research
Notes: mmt Million Metric Tonne; * - Provisional, HPCL - Hindustan Petroleum Corporation Ltd, BPCL - Bharat Petroleum Corporation Ltd,
OIL - Oil India Limited, ONGC - Oil and Natural Gas Corporation, IOCL - Indian Oil Corporation Ltd, CPCL - Chennai Petroleum Corporation Limited,
NRL - Numaligarh Refinery Limited, MRPL - Mangalore Refinery and Petrochemicals Limited, RPL - Renegade Petroleum Ltd, EOL - Essar Oil Ltd

During FY13, 217.8 mmt of petroleum products were produced


Petroleum products derived from crude oil include light distillates such as LPG, naphtha; middle distillates such as
kerosene; and heavy ends such as furnace and lube oils, bitumen, petroleum coke, paraffin wax
The production of petroleum products is expected to reach 1199.7 mmt during the 12th Plan period (201217)

Petroleum products from natural gas (mmt)

Petroleum products from crude oil (mmt)

2.2
35

35

94

100

103

35
23

28

26

2.2

80

32

38

40

40

51

55

58

FY06

FY07

FY08

FY09

FY10

FY11

FY12*

Middle Distillates

2.1
2.1

77

Light Distillates

2.2

30

71

64

2.2

2.2

Heavy Ends

FY06

FY07

FY08

FY09

FY10

FY11

FY12*

LPG
Source: Ministry of Petroleum & Natural Gas; Aranca Research
Notes: mmt Million Metric Tonne; * - Provisional

In FY13, total sales of petroleum products by companies


was 146.7 mmt, up 4.2 per cent from the previous fiscal
year

Downstream distribution statistics (000 tonnes)


200,000

The total number of retail outlets (including private


companies) increased to 49,077 in April 2013 from 45,104
in April 2012

150,000

IOC owns the maximum number of retail outlets in the


country (48.8 per cent of total), followed by HPCL (26.7 per
cent) and BPCL (24.5 per cent); the remaining outlets are
owned by private firms

50,000

100,000

0
FY06

FY07

FY08

Product Pipeline

As of April 1, 2013, there were 12,610 LPG distributors in


India

Pipeline

FY09

LPG Pipeline

FY10

FY11

FY12*

Crude Pipeline

Capacity (mmtpa)
Length (km)
As of April 1, 2012 As of April 1, 2012

Product Pipeline

76.3

11,218

LPG Pipeline

3.9

2,312

Crude Pipeline

138.3

8,528

Total

218.5

22,057

Source: Ministry of Petroleum & Natural Gas; Aranca Research


Notes: mmt Million Metric Tonne; mmtpa Million Metric Tonnes Per Annum
* - Provisional

Energy consumption pattern in 2011

In 2011, coal accounted for 41 per cent of total primary


energy demand
Energy demand in the Asia-Pacific region is expected to
reach 5,627 Mtoe by 2020 and 6,861 Mtoe by 2035

5%

Coal

8%
Petroleum

Indias energy demand is expected to double by 2035 to


48.7 quadrillion BTU

41%
Solid biomass &
waste

23%

Natural gas

23%

Nuclear & other


renewables

Source: US Energy Information Administration (EIA);


Asia-Pacific Economic Cooperation (APEC); Aranca Research
Notes: mtoe Million Tonne of Oil Equivalent
BTU British Thermal Unit

Consumption pattern expected in 2035

Over the next few years, the dependence on gas, hydro


power and nuclear power is expected to increase relative to
oil and coal
The government aims to quadruple Indias nuclear power
generation capacity to 20 GW by 2020; currently, seven
nuclear power reactors of 4,930 MWe capacity are under
construction

Coal

8%
11%

Petroleum
42%
Solid biomass &
waste

15%

Natural gas

24%

Nuclear & other


renewables

Source: International Energy Agency (IEA); 12th Five-Year Plan;


Aranca Research

Company

Ownership
(per cent)

FY13 Turnover
(USD billion)

Indian Oil Corporation


Limited

78.9 per cent stateowned

84.7

Reliance Industries

Public Listed

73.0

Bharat Petroleum
Corporation Limited

54.9 per cent stateowned

44.5

Hindustan Petroleum
Corporation Limited

51.1 per cent stateowned

39.7

ONGC

69.2 per cent stateowned

29.7

GAIL India Limited

57.3 per cent stateowned

9.4

Oil India Limited

68.4 per cent stateowned

1.8

Source: Bloomberg; Aranca Research


Notes: FY Indian Financial Year, AprilMarch

Company

Ownership
(per cent)

Global Turnover
(USD billion)

Cairn Energy India Pvt


Ltd

Private Sector

1.5 (H114)

Shell

Private Sector

341.9
(Nine months 2013)

BG Group

Private Sector

13.7
(Nine months 2013)

BP

Private Sector

285.4
(Nine Months 2013)

Source: Bloomberg; Aranca Research

Coal Bed Methane


(CBM)

Government approved the CBM policy in 1997 to boost the development of clean and
renewable energy resources
CBM is an eco-friendly natural gas (methane), which is absorbed in coal and lignite seams
CBM policy was designed to be liberal and investor friendly; the first commercial
production of CBM was initiated in July 2007 at about 72,000 cubic metres per day

Underground Coal
Gasification (UCG)

The technology was first widely used in the US in the 1800s, and in India (Kolkata and
Mumbai) in the early 1900s
UCG is currently the only feasible technology available to harness energy from deep un
mineable coal seams economically in an eco-friendly manner
Reduces capital outlay, operating costs and output gas expenses by 2550 per cent, vis-vis surface gasification

Gas hydrates and biofuels

The government initiated the National Gas Hydrate Programme (NGHP), a consortium of
national E&P companies and research institutions, to map gas hydrates for use as an
alternate source of energy
Bio-fuels (bio-ethanol and bio-diesel) are alternate sources of energy from domestic
renewable resources; these have lower emissions compared to petroleum or diesel

Installed capacity,
as of April 2012 (mt)

Crude throughput for


201112 (mt)

Gujarat

91.7

104.8

Maharashtra

18.5

20.9

Haryana

15.0

15.5

Karnataka

15.0

12.8

Tamil Nadu

11.5

10.6

Kerala

9.5

9.5

Andhra Pradesh

8.4

8.8

Uttar Pradesh

8.0

8.2

West Bengal

7.5

8.1

Assam

7.0

6.7

Bihar

6.0

5.7

Punjab

9.0

Madhya Pradesh

6.0

213.1

211.4

State

Source: Ministry of Petroleum & Natural Gas;


Aranca Research
Note: mt Million Tonne

Total

Growing demand
Growing
demand

India is fourth
largest energy
consumer

Rise in
population and
economic growth
to fuel demand

Increasing
industrialisation
and usage of gas

Increasing investments

Policy support

Supportive FDI
policies
Inviting

FDI in FY13* was


USD2.03 billion
Resulting in

Promoting of
investments in the
sector

Cumulative# FDIs
in oil & gas totalled
USD5.4 billion

Introducing
policies such as
CBM and NELP

Huge investments
planned under
Eleventh Plan

Source: Ministry of Petroleum & Natural Gas; Aranca Research


Notes: * - Provisional; # - April 2000September 2013

Robust domestic
market; expected to
expand

India is the worlds fourth-largest energy consumer


Oil consumption is expected to rise 42.5 per cent during 201020
The country accounted for 10.3 per cent of total demand for gas in Asia-Pacific in 2011

Increasing demand for


natural gas

Several industries are increasing the usage of natural gas in operations; this has boosted
natural gas demand in India
Some of the main industries that use natural gas pulp and paper, metals, chemicals,
glass, plastic and food processing

Abundant raw material

The nation has large coal, crude oil and natural gas reserves
Oil reserves amounted to 5.47 billion barrels in FY13
Natural gas proved reserves stood at 1.24 tcm in FY13

Favourable policies

100 per cent FDI allowed in E&P projects/companies; 49 per cent allowed in refining under
the automatic route from earlier approval route
Policies to promote investments in the industry such as New Exploration Licensing Policy
(NELP) and Coal Bed Methane (CBM)

Source: Ministry of Petroleum & Natural Gas; US Energy Information Administration,


BP Statistical Review of World Energy, June 2012; BMI; Aranca Research,
Notes: tcm - Trillion Cubic Meters, E&P - Exploration and Production

Huge investments

Investments worth USD75 billion is expected across the oil & gas value chain under the
12th Plan (201217)
Since April 2000-September 2013, FDI worth USD5.4 billion has been invested in Indias
petroleum and natural gas sector

Skilled labour

The nation offers abundant skilled labour at much competitive wages compared to other
countries
The University of Petroleum and Energy Studies in Dehradun, Uttarakhand, is Asias first
and only energy university

Natural gas discoveries

Several domestic companies (such as ONGC, Reliance and Gujarat State Petroleum)
have reportedly found natural gas in deep waters
This offers significant expansion opportunity for the next decade

Source: Ministry of Petroleum & Natural Gas; BMI; Aranca Research

Integrated Energy
Policy (IEP), 2006
Petroleum and Natural
Gas Regulatory Board
(PNGRB) Act, 2006

Auto Fuel Policy, 2003

National Biofuel Policy,


2002
Freight Subsidy (for farflung areas) Scheme,
2002

NELP, 1999

Outlines goals for dealing with challenges faced by Indias energy sector

To regulate refining, processing, storage, transportation, distribution, marketing and sale of


petroleum, petroleum products and natural gas

To provide a roadmap to comply with various vehicular emission norms and corresponding
fuel quality upgrading requirements over a period of time

To promote bio-fuel usage, the GoI has provided a 16 per cent concession on the excise
duty on bio-ethanol and exempted bio-diesel from excise duty

To compensate public sector Oil Marketing Companies (OMCs) on the freight incurred to
distribute subsidised products in far-flung areas

To provide a contract framework for E&P of hydrocarbons; licenses for exploration are
awarded through a competitive bidding system; nine rounds of bidding completed till 2011
Source: Ministry of Petroleum & Natural Gas; Aranca Research
Note: NELP - New Exploration Licensing Policy

The E&P segments FDI limit is 100 per cent, and the refining segments limit is 49 per
cent

Coal Bed Methane


(CBM) Policy, 1997

To encourage exploration and production of CBM gas as a new eco-friendly source of


energy

Petroleum Rules, 1976

Provisions for regulations governing pollution, safety, and other operating standards

An act establishing a board to develop the oil industry and levy excise duty on crude and
natural gas

Petroleum and Minerals


Pipelines Act, 1962

Acquisition of users rights by the government of India on land demarcated for laying
pipelines to transport petroleum and other minerals from one area to another

Petroleum and Natural


Gas Rule, 1959

Regulates the grant of petroleum and natural gas exploration licenses and mining leases,
which belong to the government

FDI Policies

Oil Industry
(Development) Act,
1974

Source: Ministry of Petroleum & Natural Gas; Aranca Research

Oil Field (Regulation


and Development) Act,
1948

An act to regulate oilfields and develop mineral oil resources

Source: Ministry of Petroleum & Natural Gas; Aranca Research

Cumulative FDI inflows during April 2000 September 2013 in Indias petroleum and natural gas sector stood at USD5.41
billion (2.6 per cent of total FDIs)
Across sectors, cumulative FDI inflows during April 2000 - September 2013 was USD204.8 billion, with the services sector
accounting for the largest share (18.8 per cent), followed by construction development (11.12 per cent) and
telecommunication (6.3 per cent)

FDI inflows into petroleum and natural gas


(USD million)

FDI inflows into India (USD billion)


40

35.1
31.4

2,030.0

30

25.8

24.6

22.4

21.4

16.8

20

1,427.0

12.5
10
556.0
412.0
14.0
FY06

89.0
FY07

266.0

FY08

FY09

FY10

FY07
FY11

FY12*

FY08

FY09

FY10

FY11

FY12

FY13 FY14**

Source: Department of Industrial Policy & Promotion; Aranca Research


Notes: * - Provisional
** - Data for the period April-September 2013

Date announced

Acquirer name

Target name

Value of deal (USD million)

Oct 2013

ONGC Videsh Ltd

Parque das Conchas, Brazilian Oilfield

529

Jun 2013

ONGC Videsh Ltd


(in partnership with Oil India Ltd)

Rovuma Area 1 Offshore Block

2640

Nov 2012

ONGC Videsh

ConocoPhillips (Kashagan Field)

5000.0

Nov 2012

Inpex Corp

Oil and Natural Gas Corps exploration block


KG-DWN-2004/6

Not disclosed

Sep 2012

ONGC Videsh

Hess Corp (Azrei oilfield)

1000.0

Apr 2012

Trafigura Pte Ltd

Nagarjuna Oil Co Ltd

130.0

Apr 2011

Sesa Goa Ltd

Calm India Ltd

1492.0

Feb 2011

BP PLC

Reliance Industries Ltd

9,000.0

Aug 2010

BPRL

EP413

13.4

Aug 2010

Sesa Goa Ltd

Cairn India Ltd

1,180.8

Aug 2010

Vedanta Resources PLC

Cairn India Ltd

6,568.5

Aug 2010

Reliance Industries Ltd

Marcellus Shale Natural Gas

391.6

Jun 2010

Reliance Industries Ltd

Infotel Broadband Svcs Ltd

Apr 2010

Sim Siang Choon Hardware

Interlink Petroleum Ltd

1,026.7Aranca Research
Source: Thomson Banker;
17.8

Date announced

Acquirer name

Target name

Value of deal (USD million)

Apr 2010

Reliance Industries Ltd

Atlas Energy Inc-Marcellus

339.0

Mar 2010

Investor Group

Gulfsands Petroleum PLC

573.3

Mar 2010

Natural Power Venture Pvt Ltd

Great Offshore Ltd

11.8

Feb 2010

Investor Group

Republic of Venezuela-Carabobo

4,848.0

Source: Thomson Banker; Aranca Research

ONGC revenue growth (USD billion)

15.3
13.0

Highest
reserve
accretion
in the last
ONGC
two
registered
decades
highest 83.5
ever oil
million
production
toe

ONGC
reported net
Domestic
profit of
crude
USD3.9
production billion in
up 2.1 per 2011
cent
Highestever
dividend
payout of
USD1.6
billion

14.2

15.3

15.9

15.2

13.1

ONGC
recorded
net profit of
USD3.6
billion in
2013
FY07

FY08

FY09

FY10

FY11

FY12

FY13

ONGCs position in the Indian market


ONGC is the largest upstream oil company
ONGC accounts for 60 per cent of Indias total crude
oil output and 57 per cent of total gas production
(FY13)
Source: Company Reports; BMI, Aranca Research
Note: TOE - Tonne of Oil Equivalent

Reliance Industries is a leading company in the petrochemical, refining and oil & gas industry
The company was ranked 99th in the Fortune Global 500 list 2012
It contributes 14 per cent to India's exports (Mar 2011) and 4.6 per cent of total market capitalisation in the country

FY12

FY13

Turnover

USD66.8 billion

USD68.4 billion

EBITDA

USD7.3 billion

USD7.1 billion

Net Profit

USD3.9 billion

USD3.9 billion

Turnover increased by 9.2 per


cent in FY13
Exports increased by 15 per
cent to USD44.1 billion
Record crude throughput at
68.5 million tonnes
US shale: FY13 revenue and
EBITDA at USD616 million
and USD483 million
respectively

Reliance Industries has entered into JVs with various companies across segments to align growth opportunities; it signed JVs
with Atlas, Pioneer, Carrizo SIBUR, and D.E. Shaw as well as entered into a strategic alliance with BP recently.
Source: Company Reports; Aranca Research

Upstream segment

Midstream segment

Downstream segment

Locating new fields for exploration: 78

Expansion in the transmission network

Development in city gas distribution

per cent of the countrys sedimentary


area is yet to be explored

of gas pipelines

(CGD) networks, which are similar to


Delhi and Mumbais CGDs

LNG
Development

of
unconventional
resources: CBM fields in the deep sea

imports
have
increased
significantly;
this
provides
an
opportunity to boost production
capacity

Opportunities for secondary/tertiary oil

producing techniques
Increased demand for skilled labour

and oilfield services and equipment

To

construct
new
refineries
considering advantages such as low
operation costs, lesser freight charges
and favourable policies

In light of mounting LNG production,

huge opportunity lies for LNG terminal


operation, engineering, procurement
and construction services

Expansion of the countrys petroleum

product distribution network

India has 63 tcf of recoverable shale gas reserves


The Cambay, Krishna Godavari, Cauvery, and the Damodar Valley are the most prospective sedimentary basins for carrying

out shale gas activities in the country


Around 20 tcf of gas has been classified as technically recoverable reserves in the Cambay basin in Gujarat (the largest

basin in the country), spread across 20,000 gross square miles with a prospective area of 1,940 square miles
It is estimated that the Krishna Godavari (KG) basin encloses a series of organically rich shales, containing around 27 tcf of

technically recoverable gas. KG basin, located in Eastern India, holds the countrys largest shale gas reserves, extending
over 7,800 gross square miles with a prospective area of around 4,340 square miles
India is likely to launch bidding for shale gas exploration toward the end of 2013
In April 2012, the Directorate General of Hydrocarbons (DGH) submitted its draft policy on exploitation of shale gas to the

Ministry of Petroleum and Natural Gas

Source: E&Y; Aranca Research


Note: tcf Trillion Cubic Feet

Name

Address

Oil Industry Development


Board (OIDB)

301, World Trade Centre, Babar


Road, New Delhi 110001

Petroleum Conservation
Research Association
(PCRA)

Contact person

Telephone

E-mail

Mr T S Balasubramanian,
Financial Adviser and Chief
Accounts Officer

91-11- 23413298
91-11- 23414692

oidb@hotmail.com

Sanrakshan Bhavan, 10 Bhikaji


Cama Place, New Delhi
110066

Mr Arun Kumar, ED

91-11- 26198799
Ext.301

pcra@pcra.org

Bureau of Energy
Efficiency (BEE)

Ministry of Power, 4th floor,


SEWA Bhawan, RK Puram,
New Delhi 110066

Dr Ajay Mathur, Director


General

91-11- 26178316,
91-11- 26179699

dg-bee@nic.in,
amathur@beenet.in

Oil Industry Safety


Directorate

Ministry of Petroleum & Natural


Gas, 7th floor, New Delhi
House, 27 Barakhamba Road,
New Delhi 110001

Mr J B Verma, ED

91-11- 23316798

verma.jb@gov.in

Petroleum Planning and


Analysis Cell (PPAC)

Ministry of Petroleum & Natural


Gas, 2nd floor, Core-8, SCOPE
Complex, 7 Institutional Area,
Lodhi Road, New Delhi
110003

Dr Basudev Mohanty,
Director

91-11- 24362501,
91-11- 24361380

Directorate General of
Hydrocarbons

Ministry of Petroleum & Natural


Gas, C-139, Sector 63, Noida
201301

Mr S K Srivastava, Director
General

0120 - 4029401

dg@dghindia.org

B/D (or bpd): Barrels Per Day


MBPD (or mbpd): Million Barrels Per Day
BCM (or bcm): Billion Cubic Metres
CBM: Coal Bed Methane
CGD: City Gas Distribution
E&P: Exploration and Production
FDI: Foreign Direct Investment
FY: Indian financial year (April to March)
So FY12 implies April 2011 to March 2012
GoI: Government of India
INR: Indian Rupee
LNG: Liquefied Natural Gas

MMT (or mmt): Million Metric Tonne


MMTPA (or mmtpa): Million Metric Tonnes Per Annum
EBITDA: Earning Before Interest Taxes Depreciation Amortisation
NRL: Numaligarh Refinery Limited
CPCL: Chennai Petroleum Corporation Limited
HPCL: Hindustan Petroleum Corporation Limited
BPCL: Bharat Petroleum Corporation Limited
IOC: Indian Oil Corporation Ltd
EOL: Essar Oil Ltd
RPL: Reliance Petroleum Limited
MRPL: Mangalore Refinery and Petrochemicals Limited
PCCK: Petronet Cochin-Coimbatore-Karur
PMHB: Petronet Mangalore-Hassan-Bangalore

NELP: New Exploration Licensing Policy


TOE (or toe): Tonnes of Oil Equivalent
USD: US Dollar
ONGC: Oil and Natural Gas Corporation of India
IOCL: Indian Oil Corporation Limited
mn bbl: Million Barrels
CAGR: Compound Annual Growth Rate
JV: Joint Venture
UCG: Underground Coal Gasification
NGL: Natural Gas Liquids
OMCs: Oil Marketing Companies
NHGP: National Gas Hydrate Programme
Wherever applicable, numbers have been rounded off to the nearest whole number

Exchange rates (Fiscal year)

Exchange rates (Calendar year)

Year

INR equivalent of one USD

Year

INR equivalent of one USD

2004-05

44.95

2005

45.55

2005-06

44.28

2006

44.34

2006-07

45.28

2007

39.45

2007-08

40.24

2008

49.21

2008-09

45.91

2009

46.76

2009-10

47.41

2010

45.32

2010-11

45.57

2011

45.64

2011-12

47.94

2012

54.69

2012-13

54.31

2013

57.72

2013-14

59.23
Average for the year

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