annual press conference 2011 29-05-11

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Annual Press Conference

New Delhi, 30th

May 20119/2/2014 1


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Reflections

Spotlights

Physical Performance

Financial Performance

Open Session

Presentation Itinerary

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Reflections - Global

Economic recovery gaining strength

High & Volatile Crude Oil Prices Political Turmoil in MENA : 35% suppliers of crude oil2010-11 : Highest Indian Crude Basket (ICB) Price (US$ 113.09/bbl)

2011-12 : Highest Indian Crude Basket (ICB) Price (US $ 121.90/bbl)

Improvement in Refining MarginsGas oil - Dubai Crack USD 5.11 /bbl (2009-10) to USD 11.52/bbl (2010-11)MS-Dubai Crack USD 6.70/BBL (2009-10) to USD 8.36/bbl (2010-11)

Growing Concern for Environment

% GDP growth 2009 2010

World -0.5 5.0

USA -2.6 2.8Source : International Monetary Fund, World Economic Outlook Database, April 2011

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Reflections - India

2nd fastest growing large Economy% GDP growth China India

FY 2011 9.6 8.6

FY 2010 10.3 7.4

FY 2009 9.2 6.7

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Reflections - India

4th Largest Economy in terms of GDP (PPP)

Primary Energy Consumption (Mtoe)

Oil, 145

Gas, 36.0

Coal, 261.0Nuclear, 4.0

Hydro, 10.0

Biomass &Wastes, 164.0

OtherRenewable,

1.0

USA China Japan India

14,657.80 10,085.71 4,309.53 4,060.39

Source : World Energy Outlook 2010, IEA

Source : International Monetary Fund, World Economic Outlook Database, April 2011

Unit: Billion, International Dollar

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Total POL Consumption grew by 2.9% in 2010-11

Million Tonne

MS, HSD,SKO & LPG Consumption

Reflections - India

Growth Driver

Higher growth in automobilesector

4 wheeler sales (29.3%)2 wheeler sales (25.8%)

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Spotlights IndianOil

Highest ever Turnover of ` 3,28,744 croreA Maharatna Company since Nov 2010Refinery Capacity addition in 2010-11 Haldia from 6 to 7.5 MMTPA

Panipat from 12 to 15 MMTPA

Largest Refiner of the Country 65.7 MMTPA

IndianOils Refining Capacity Share - 34.7%range of Petrochemicals joins IndianOils league

of top BrandsAdded 358 KM of pipeline length during the year

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PhysicalPerformance

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LPG Domestic consumer base widened to over618 lakh.

Added more than 44 Lakh new consumers

Continued rural thrust for Inclusive Growth

Commissioned 570 Kisan Sewa Kendras (KSK) out

of 820 new ROsRajiv Gandhi Gramin LPG Vitaran Yojana(RGGLVY) launched 145 commissioned in 13states

MarketingReaching out touching lives

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Petrol/Diesel Outlets19,463 (46.4%)

Including 3517 KSKs

LPG Distributorships5,456 (51.8%)

Bulk ConsumerPumps

7,780 (88.8%)

LPG Bottling Plants89 (48.9%)

SKO/LDO Dealerships3,960 (60.0%)

Terminals/Depots140 (40.7%)

As on 1.4.2011

Aviation Fuel Stations96 (52.8%)

Marketing TouchpointsIndianOil in every part in every heart

Figures in Bracket indicate % share in Industry

~ 54% of Indias Oil Marketing Infrastructure

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Refining Sterling Performance

Crude Throughput Million Tonne

Highest-ever throughput in 2010 - 119/2/2014 12


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Refining Creating Milestones

More than 100% Capacity Utilization for 5

consecutive years

Highest ever Distillate Yield, 75.4 % wt

Lowest ever Specific Energy Consumption, 59.0

MBN

BS IV/III Grade MS/HSD Quality improvementProjects completed in all Refineries

MBN - An energy index defined as Mbtu/Bbl/NRGF9/2/2014 13


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Crude Oil

Products

Highest-ever throughput in 2010-11

59.865.0

68.5

Million Tonne

Pipelines Underground Highways

Throughput

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Formulations & Technologies developed132 Formulations developed more than 80%commercialized in 2010-11

Cost effective Hydro-processing route developedfor ATF production

Dual mode de-asphalting Technology developed

to enhance Distillate YieldPatents Active 212*

R & DShaping Corporate Dreams

India USA Others Total

111 48 53 212

Lubes Ref. Others Total

39 86 87 212(*As on 20.5.2011) 9/2/2014 16


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New Development InitiativesServo Agro Spray Oil: An eco-friendly, Bio-degradable, non-toxic & pesticide free Oildeveloped & widely marketed

Mosquito Larvaecide Oil developed with anexcellent field trial result

Bio-Degradable Rubber Spray Oil: Approved byRubber Research Institute, Kottayam, Kerala

Hydrogen-CNG run 3 wheeler completed 18000km long Field Trial

R & DThe Power of Possibilities

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Million Tonne

Highest-ever sales in 2010-11

Gas Target Growth Area

Gas Sales

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Sales Volume increased by 21% to 2.3 MMT

IndianOils 1 st LNG import Terminal at Ennore,

Tamil Nadu is under implementation

Bagged 3 major Cross Country Gas Pipeline Bids

in consortium with GSPC, HPCL & BPCL

Gas - Target Growth Area

Mallavaram (AP) - Bhilwara (Rajasthan)

Mehsana (Gujarat) - Bhatinda (Punjab)

Bhastinda Jammu- Srinagar (J&K)

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GK-OSN-2009/1

GK-OSN-2009/2MB-OSN-2004/1

KG-DWN-2005/1

MN-OSN-2000/2

WB-OSN-2000/1

AA-ONN-2001/2

AAP-ON-94/1

NK-CBM-2001/1

BK-CBM-2001/1

MB-OSN-2004/2

CB-ONN-2005/7

Exploration & Production Upstream Integration

Domestic Blocks : 13

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Carabobo Project-1, Venezuela

Area 95/96, Libya

Area 86, Libya

Block 102/4, Libya

Farsi, Iran

Block 82, Yemen

Block 83, Yemen

Block Shakthi, Gabon

OML 142, Nigeria

Block-K, Timor-Leste

Exploration & Production Upstream Integration

Overseas Blocks : 10

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Subsidiaries - Beyond Boundaries

OVERSEASSUBSIDIARIES

Lanka IOCLimited,Sri Lanka

(2002)

IOC Middle EastFZE, Dubai

(2006)

IndianOilMauritiusLimited,

Mauritius(2001)

100% Stake

Sale of Lubricants in Middle

East countries

75.1% Stake

Storage, Terminaling

and Retail trade

100% Stake

Aviation, Retail,Storage & QualityAssurance9/2/2014 24


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Corporate Social Responsibility focuses onLPG Schemes

Enrolled ~51,000 Rural BPL customers through RGGLVY

Community Development in areas of Education, Health & Drinking Water

Educational Scholarships to Deserving & Meritorious Students No. of students increased from 450 to 2600 per year

Promotion of Sports through Sports Scholarship No. of sportpersons increased from 77 to 150 per year

Beyond Business - CSR

Won 12 medals in Commonwealth Games, Delhi

Spends upto 2% of retained profit of previous year for CSR

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Capital Plan Expenditure : 2010-11

Actual Expenditure in 2010-11: ` 9831 crore

XI Plan Expenditure Target : ` 45430.3 crore

XI Plan Actual Expenditure (2007-11) : ` 38788.1 crore, (85.4%)

Refineries59%

(Rs. 5836 crore)

Pipelines12%

(Rs. 1205 crore)

BD4% (Rs. 377 crore)

Marketing1% (Rs. 114 crore)

R&D1% (Rs. 66 crore)

Petrochemicals23%

(Rs. 2231 crore)

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FinancialPerformance

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Turnover

` crore

2009-10 2010-11

264908319683

3528

62312659

2831

POL Petrochemicals Gas3,28,744

2,71,095

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` crore

2950

2008-09 2009-10 2010-11

10221 7445PAT

PBT

EBITD

4329

11162

14106

18860

Profit Scenario

9096

16312

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Under Recoveries

( ` Crore) 2010-11Compensation :

Discount from ONGC,OIL&GAIL 16704Bonds / Cash by Govt. 22605Total 39309Net unmet Under Recovery 3803

` crore

1 0 2 6

1 8 6 7 3

1 0

7 6 5

1 2 6 4 8

4 3 1 1 2

0

10000

20000

30000

40000

50000

MS HSD LPG (Dom) SKO (PDS) TOTAL

2010-11

Under recovery in MS upto 25 th June 20109/2/201 4 31


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As on date UnderRecovery

RSP(at Delhi )

HSD - `/ Litre 14.66 37.75

SKO (PDS) - `/ Litre 28.27 12.73

LPG (Domestic) - `/ Cylinder 329.73 345.35

Per Day Under Recovery ` 261 crore

Under Recoveries (2011-12) HSD, SKO, LPG

Under Recovery of IOCL up to date during 2011-12 is ` 18248 Cr.

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Rising Borrowings -A growing Concern

` crore

During 2011-12, borrowings have increased by more than ` 15,000Crore due to rising under recoveries on sale of regulated products.

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Key Financial Ratios

Net worth(Rs. crore)

MarketCapitalization

(Rs. crore ) EPS (Rs.) Book Value /Share (Rs.)

2008-09 43,998 46,240 12.2 181.2

2009-10 50,553 72,049 42.1 208.21

2010-11 55,332 81,154 30.67 227.90

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OPEN SESSION

annual press conference 2011 29-05-11

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