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Page 1: Investor Presentation - Engineers India Limitedengineersindia.com/hindi/Common/Uploads/DownloadsTemplate/85... · This presentation and its contents are not and should not be construed

Investor Presentation

January 2014

Page 2: Investor Presentation - Engineers India Limitedengineersindia.com/hindi/Common/Uploads/DownloadsTemplate/85... · This presentation and its contents are not and should not be construed

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Disclaimer

THIS PRESENTATION IS NOT AN OFFER OF SECURITIES FOR SALE IN THE UNITED STATES OR ELSEWHERE.

Engineers India Limited (the “Company”) is proposing, subject to receipt of requisite approvals, market conditions and other considerations, a further public offer of its equity shares of face value of Rs. 10

each (“Equity Shares”) through an offer for sale by Government of India through the Ministry of Petroleum and Natural Gas and has filed a draft red herring prospectus with the Securities and Exchange Board

of India. The draft red herring prospectus is available on the website of SEBI at www.sebi.gov.in and the websites of the book running lead managers at www.icicisecurities.com, www.idfccapital.com and

www.investmentbank.kotak.com. Investors should note that investment in Equity Shares involves a high degree of risk and for details relating to the same, see the section titled “Risk factors” of the draft red

herring prospectus.

This presentation is for information purposes only and does not constitute, or should be regarded as, or form part of any offer, invitation, inducement or advertisement to sell or issue, or any solicitation or any

offer to purchase or subscribe for, any securities of the Company in any jurisdiction, including the United States and India, nor shall it, or the fact of its distribution form the basis of, or be relied on in connection

with, any investment decision or any contract or commitment to purchase or subscribe for any securities of the Company in any jurisdiction, including the United States and India. This presentation does not

constitute a recommendation by the Company or any other party to sell or buy any securities of the Company.

This presentation and its contents are not and should not be construed as an offer document or prospectus. This presentation is intended only for the attendees of the presentation and may not be

retransmitted or distributed by them to any other persons. By attending the meeting where the presentation is made, or by reading the presentation slides, you agree to the following limitation and notifications

and represent that you are a person who is permitted under applicable law and regulation to receive information of the kind contained in this presentation.

This presentation and its contents are strictly confidential to the recipient and should not be further distributed, re-transmitted, published or reproduced, in whole or in part, or disclosed by recipients directly or

indirectly to any other person or press, for any purposes. In particular, this presentation is not for publication or distribution or release in any country where such distribution may lead to a breach of any law or

regulatory requirement. No person is authorized to give any information or to make any representation not contained in or inconsistent with this presentation or the DRHP filed with SEBI, and if given or made,

such information or representation must not be relied upon as having been authorized by us. Receipt of this presentation constitutes an express agreement to be bound by such confidentiality and the other

terms set out herein. Any failure to comply with this restriction may constitute a violation of applicable securities laws. This presentation and the information contained herein does not constitute or form part of

any offer for sale or subscription of or solicitation or invitation of any offer to buy or subscribe for any securities of the Company, nor should it or any part of it form the basis of, or be relied on in connection

with, any contract or commitment whatsoever.

Nothing in the presentation shall constitute and/or deem to constitute an offer or invitation to an offer, to be made to the Indian public or any section thereof, and this document and its contents should not be

construed to be a prospectus in India. This presentation has not been and will not be reviewed or approved by regulatory authority in India or by any stock exchange in India. This presentation does not comply

with the disclosure requirements prescribed by the SEBI or any other applicable authority in relation to a public issue of securities on the Indian stock exchanges.

This presentation contains forward-looking statements, which are statements that address expectations or projections about the future, including but not limited to statements about the strategy for growth,

product development, market position, expenditures and the financial results of the Company. Forward looking statements may be identified by their use of words like “plans”, “expects”, “will”, “anticipates”,

“believes”, “intends”, “projects”, “estimates” or other words of similar meaning. Forward-looking statements are based on certain assumptions and expectation of future events. The Company cannot guarantee

that these assumptions and expectations are accurate or will be realized. The actual results, performance or achievements of the Company could differ materially from those projected or expressed in any such

forward-looking statements. The Company assumes no responsibility to publicity amend, modify or revise any information, opinion expressed, or forward looking statements on the basis of any subsequent

developments, information, events or otherwise. You are cautioned not to place undue reliance on these forward looking statements, which are based on current view of the management on future events.

No representation, warranty, guarantee or undertaking, express or implied, is or will be made as to, and no reliance should be placed on, the accuracy, completeness or fairness of the information, estimates,

projections and opinions contained in this presentation. Potential investors must make their own assessment of the relevance, accuracy and adequacy of the information contained in this presentation and

must make such independent investigation as they may consider necessary or appropriate for such purpose. Any opinions expressed in this presentation are subject to change without notice. None of the

Company, Book Running Lead Managers, selling shareholder or any other persons that may participate in the offering of any securities of the Company shall have any responsibility or liability for any loss

arising from this presentation, its contents or otherwise.

This presentation should not be treated as advice relating to legal, taxation, financial, accounting or investment matters. By attending this presentation you (i) acknowledge that you will be solely responsible for

your own assessment of the market and the market position of the Company and of the risks and merits of any investment in the Shares, and that you will conduct your own analysis and be solely responsible

for forming your own view of the potential future performance of Company’s business, and (ii) agree to be bound by the foregoing terms and to keep this presentation and the information contained herein

confidential.

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Contents

Business Outlook and Strategy

Overview of Engineers India Limited (“EIL”)

Key Investment Themes

Financials and Order Book Overview

1

2

3

4

4

15

28

36

Page #

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Overview of Engineers India Limited (“EIL”)

1

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One of India’s leading engineering consultancy and EPC companies

Nearly five decades of experience on landmark projects with global energy majors

Significant track record across entire oil & gas value chain including 10 green-field

refineries, 39 oil & gas processing plants, 40 offshore process platforms, 42

pipelines and 7 petrochemical complexes

Focused diversification into other sectors:

Fertilizer and LNG

Non-ferrous metallurgy

Infrastructure

Strategic crude oil storage

Nuclear and solar energy

E&P

Over 2,890 highly experienced professionals and technical workforce

In-house and collaborative R&D support with 14 registered patents

Expanding overseas presence in MENA and South East Asia

Zero debt firm with track record of healthy earnings and consistent dividend

payout

5

Company Background

BPCL Refinery,

Kochi

Bina Refinery

Panipat Naphtha

Cracker Unit

Guru Gobind Singh

Refinery, Bathinda

Marquee Projects

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Evolution & Key Milestones

Wholly owned Government of India (GoI) company

Incorporated pursuant to a formation agreement between GoI and Bechtel

Commenced work in the refineries segment

1965 1967 1969 1970-72 1989 1997 2001 2006

Commenced services in sub-surface crude storages

R&D centre in Gurgaon

1975-78

Expansion in Hydrocarbons value chain

Offshore

Pipelines

Onshore oil and gas

Listed on the BSE and NSE

Accorded the Mini Ratna status

Diversified into Infrastructure

Expansion to Petrochem with IPCL (now Reliance Industries Ltd)

2010

Special interim dividend of 1000%

Successful FPO of 3.36 Cr shares of Rs. 5 each

Commenced first international assignment

Entered

Fertilizer sector

Non-ferrous metallurgical sector

2011

Diversification into nuclear and solar Energy sector

JV in Saudi Arabia

2012 -13

Entered into PSC with GoI for exploration (NELP IX)

Overseas expansion in fertilizer

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Service Offering - From Concept to Commissioning

Pre-feasibility studies

Technology and licensor selection

Conceptual design & feasibility

Process design package

Process Design

Residual engineering and FEED

Detailed engineering

Engineering for procurement

Engineering for construction

Engineering

Supplier and contractor management

Expediting and inspection

Vendor development

Procurement

Materials and warehouse management

Quality assurance and health, safety &

environment

Progress monitoring/ Scheduling

Mechanical completion

Site closure

Construction Management

Pre-commissioning and commissioning

assistance

Safety audit

Hazard and operability studies

Risk analysis

Commissioning

Integrated project management services

with focus on cost, quality and schedule

Project Management

Environment engineering

Heat and mass transfer

Plant operations and safety management

Specialist materials and maintenance

services

Specialized Services

Certification and re-certification services

EIL subsidiary – Certification Engineers

International Limited (CEIL)

Third party inspection

Certification

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Service Offering - Modes of Contracts Managed

8

Consultancy Contracts

Turnkey Contracts

Wide spectrum of service offerings

Engineering,

Procurement and

Construction

Management

(EPCM)

Services related to process design,

detailed engineering, procurement,

construction supervision through co-

ordination of various suppliers and

contractors and commissioning and

pre-commissioning assistance

1

Project

Management

Consultancy

(PMC)

Front-end

Engineering &

Design (FEED)

Comprehensive project management

Services for the implementation of a

project through EPC contractors

Upstream process design, residual basic

design and front-end basic engineering for

complete definition of scope for selection

of EPC contractor

3

2

Lump-sum

turnkey ("LSTK")

Fixed price contracts for Engineering, Procurement And Construction (EPC)

Single-point responsibility for completion of a project within the agreed schedule at the awarded turnkey price

Changes in scope of work are defined by change orders agreed by both parties

1

Open book

estimate ("OBE")

Cost plus contracts contract with a provision for conversion to LSTK

2

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Lines of Business

Oil & Gas Chemicals & Metallurgy

Infrastructure Power

Oil and Gas

Processing

Offshore &

Onshore

Strategic

Storage,

Terminals and

Pipelines

Refinery Petrochemicals Fertilizer Mining and

Metallurgy

Solar Thermal Nuclear City Gas Urban

Development

Water and Waste

Management

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R&D Achievements

Established in 1988 as part of an initiative of Scientific Advisory Committee of the MoPNG for development of indigenous hardware

and process scale-up capabilities

14 patents awarded and 15 pending applications

Over the years, the R&D initiatives have enhanced EIL’s capabilities in process design, heat and mass transfer, distillation processes

and enabled EIL to offer end to end concept to commissioning services

Developed and commercialized over 30 technologies through in-house development and / or in collaboration with clients and reputed

research institutions such as IOCL R&D*, IIP*, CPCL*, HPCL*. Some of the technologies developed include:-

CDU (Crude oil Distillation Unit), VDU(Vacuum Distillation Unit ), bitumen blowing, visbreaking, hydrotreating (naptha,

kerosene / ATF and diesel), reformers and isomerization

Gas sweetening, gas dehydration, dew point depression, gas transportation, LPG and ethane/ propane recovery units

Naphtha splitter, benzene toluene extraction and fractionation and xylene fractionation

Refining

Oil and Gas

processing

Aromatics

10

* IOCL - Indian Oil Corporation Limited; IIP - Indian Institute of Petroleum; CPCL - Chennai Petroleum Corporation Limited; HPCL - Hindustan Petroleum Corporation Limited

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Select Ongoing Projects – Hydrocarbon

Refinery

Pipelines

Terminal &

Storages

6 MMTPA Integrated Refinery Expansion Project (IREP) at Kochi of Bharat Petroleum Corporation Ltd (BPCL)

Wax unit of Numaligarh Refineries Ltd (NRL)

Refinery expansion & up-gradation project for Mangalore Refinery and Petrochemicals Ltd (MRPL)

6 MMTPA capacity CDU-4 Project at Mumbai Refinery for BPCL

Rehabilitation and adaptation of Algiers refinery refinery of SONATRACH

Mallavaram-Bhopal-Bhilwara-Vijaipur Pipeline Project (MBBVPL) for Gujarat State Petroleum Corporation (GSPL) & Gujarat

India Transco Ltd. (GITL)

Upgrading pump stations/ terminals of Naharkatiya-Barauni Crude Oil Pipeline for Oil India Limited

Dabhol-Bangalore gas pipeline of total 1200 KMs project for GAIL (India) Ltd

Mehsana-Bhatinda Pipeline Project of total 1600 KMs for GSPL

Strategic Crude Oil Facilities in Rock Caverns for the Indian Strategic Petroleum Reserves Limited at Mangalore,

Vishakhapatnam and Padur

LNG terminal at Gangavaram port for Petronet LNG

Development of port facilities for Ratnagiri Gas and Power Pvt Ltd for GAIL (India) Ltd

Offshore/

Onshore Oil &

Gas

Enhanced oil recovery project of CAIRN India

Offshore platform projects for Gujarat State Petroleum Corporation (GSPC)

Western Onshore Redevelopment Project for Mehsana, Ankleshwar and Ahmedabad Assets of ONGC

Habshan Acid Gas Flare Recovery Project for Abu Dhabi Gas Industries Ltd.

Revamp of BPA/BPB platforms for ONGC

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Select Ongoing Projects – Others

Petrochemicals &

Fertilizers

Mining and

Metallurgy

Infrastructure

Turnkey Projects

Dahej Petrochemical Complex for ONGC Petro-additions Ltd (OPaL)

Assam Gas Cracker Complex at Lepetkata for BCPL

Petrochemical expansion project at GAIL Vijaipur and GAIL Pata plants

Butadiene extraction project at IOCL Panipat

Facility to produce fertilizer products in Port Harcourt, River State, Nigeria

ShahJalal fertilizer project for BCIC, Bangladesh

Ammonia Plant in Indonesia for Panca Amara Utama (PAU)

Second phase expansion of Bauxite Mines, Alumina Refinery for NALCO, Bhubaneswar

Mahan Aluminum Smelter project, Madhya Pradesh for HINDALCO

Aditya Aluminum Smelter project, Odisha for HINDALCO

Fourth Stream Upgradation Project for Bauxite Mines and Alumina Refinery, Orissa for NALCO

Canal, Pipeline and Pumping station works of Sardar Sarovar Narmada Nigam Limited (SSNNL)

Data Centre of UIDAI at Delhi and Bengaluru for Unique Identification Authority of India (UIADI)

Interceptor Sewer Project for the abatement of pollution in River Yamuna for Delhi Jal Board (DJB)

Rajiv Gandhi Institute of Petroleum technology (RGIPT) at Rai Bareli and Sibsagar

Coker Block for Resid Upgradation Project of CPCL, Chennai

Butene-1 Project at Panipat Naphtha Cracker Complex for IOCL

Onshore Gas Processing Complex at Kakinada for GSPC

SPM , Pipeline and related facilities for MRPL, Mangalore

Pipeline and South Jetty Facilities for IOCL Paradip Refinery

PFCC, SRU and Polypropylene Projects of Phase III refinery project at Mangalore for MRPL

Nuclear: Nuclear Fuel Complex at Rawatbhata, Kota

Solar: 125 MW Solar Thermal Power Project of Reliance Power

Captive: Captive Power Plant for Paradip refinery of IOCL

Power

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Select Awards and Accolades (2010-13)

PMI Award-2010

Bina Refinery project of Bharat Oman Refineries (BORL)

Best Project under 4th CIDC Vishwakarma Awards

Euro-IV Upgradation project of Chennai Petroleum Corporation Limited (CPCL)

Business Standard Star PSU of the year 2010 Award

Shri A K Purwaha, C&MD, EIL received the award from Hon’ble Prime Minister of India, Dr. Manmohan Singh

Golden Peacock Award 2013

Golden Peacock award for sustainability

PMI Award-2012

Guru Gobind Singh Refinery project, Bathinda of HPCL-Mittal Energy Limited (HMEL)

Petrotech-2012 Special Technical Award in Greening of Oil and Gas Business Category

India's first Indigenous Diesel Hydro-treating (DHDT) Technology unit jointly developed with IOCL and implemented in

Bongaigaon Refinery

Petrotech-2012 Special Technical Award in Project Management Category

Guru Gobind Singh Refinery Project, Bathinda of HMEL

Commendation Certificate of SCOPE Meritorious Award in Specialized Fields

R&D, Technology Development and Innovation for 2011-12

Golden Peacock Award 2012

Special Commendation for the Golden Peacock Occupational Health & Safety Award

ICC PSE Excellence Award 2013

For R&D, Technology Development & Innovation

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Select Awards and Accolades (2010-13)

BT Star PSU Excellence Award 2012

Excellence in Human Resource Management

IPE CSR Award

Best practices in Corporate Social Responsibility in 2012-13

SCOPE Excellence Award 2009-10

Excellence and outstanding contribution to the Public Sector Management in Miniratna category

Performance Excellence Award from Indian Institution of Industrial Engineering (IIIE)

Financial and Operational Strength for the year 2010-11

ICAI Award-2012 for Excellence in Cost Management Practices

ICAI Award-2012 for Excellence in Cost Management Practices - 1st prize in the category of Public - Service Sector –

Large

12th ICSI National Award 2012

Excellence in Corporate Governance

SKOCH Order of Merit Award

Innovative Technology on ‘Oxyenrich Process for Capacity Enhancement & Trouble Free Operation of Claus Sulphur

Plant’

FICCI Chemical and Petrochemical Awards 2013

Process Innovator of the Year in Petrochemicals for ‘Food Grade Hexane (FGH)’ Technology jointly developed by EIL &

IOCL and Best Contribution to Academia for ‘Wet Air Oxidation (WAO)’ Technology jointly developed by EIL & IIT

Roorkee.

Indian Chamber of Commerce PSE Excellence Award 2011

R&D, Technology Development & Innovation

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Key Investment Themes

2

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Investment Highlights

Presence across the Oil & Gas value chain

Operations in diversified sectors (Petrochemicals, non-ferrous , infrastructure…)

Increased focus in overseas geographies

Extensive track record and strong client relationships

Technology-driven integrated turnkey and total solutions consultancy services

Increased focus on diversification into emerging sectors

Management of the talent portfolio

Experienced management team

1

2

3

4

5

6

7

8

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Presence Across the Oil & Gas Value Chain 1

Nearly five decades of experience in the Hydrocarbon space with a presence across the entire value chain

Over 150 Well

Platforms and 30

Process Platforms for

ONGC*

Offshore Platform

Projects for the Deen

Dayal Field

Development Project of

GSPC East Coast,

India

International Projects in

Qatar, UAE

Oil & Gas Exploration

under NELP IX

Offshore Oil & Gas

HBJ pipeline – India’s

largest Gas Pipeline

Network

Jamnagar-Loni LPG

Pipeline of GAIL (one of

the world’s longest)

Strategic Pipelines for

HPCL, BPCL, BORL,

IOCL , HMEL,

TAKREER*, ADNOC*,

NPCC*

Oil & Gas Transportation

Storage of Crude Oil in

Underground Caverns -

security initiative for

Strategic Crude Oil

Storage as part of the

Integrated Energy

Policy of GoI

LNG Terminals re-

gasification and

downstream infra

facilities for Petronet

LNG, RGPPL* , Shell

and SONATRACH

Storage, Ports & Terminals

Gas Processing

Complexes at Hazira

and Uran and the

C2/C3 and LPG

recovery units

Gas Processing

Complex of GSPC at

Kakinada, India

International Projects in

Algeria and UAE

Onshore Oil & Gas

Refinery projects

aggregating over 150

MMTPA

10 Grass-root Refinery

Projects in India

Algiers and Skikda

Refineries of

SONATRACH, Algeria

Services for refinery

majors in MENA region

like KNPC*, ORPC*,

KPRL, BAPCO*

Refineries

* ONGC – Oil and Natural Gas Corporation Limited; TAKREER - Abu Dhabi Oil Refining Company; ADNOC - Abu Dhabi for Abu Dhabi National Oil Company; NPCC - National Petroleum Construction Company , Abu Dhabi; KNPC - Kuwait National Petroleum Corporation; ORPC - Oman Refineries and Petrochemicals Limited ; BAPCO - Bahrain Petroleum Company; RGPPL - Ratnagiri Gas and Power Private limited

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Operations in Diversified Sectors

Establishing strong foothold across emerging sectors

7 out of the 8 mega

Petrochemical

Complexes in India

Large petrochemical

clients like GAIL, IOCL,

IPCL* (now RIL),

OPaL*, BCPL* and

others

Petrochemical projects

in Middle East region

for Kuwait Aromatics

Company and

BOROUGE

29 large Non-ferrous

Metallurgical Projects of

Alumina, Aluminum,

Copper, Zinc, Lead

Titanium, Cadmium,

Mica, Rock Phosphate,

Graphite, Fluorspar,

Limestone, and Lignite

Large clients include

NALCO*, INDAL*,

HINDALCO, Sterlite,

HZL*, NMDC*, HCL*,

JSWAL*, GMDC*

Modernization and

redevelopment of Delhi

& Mumbai airports

Interceptor sewers for

abatement of pollution

in river Yamuna for

Delhi Jal Board

Focus on water, waste

management and urban

development

Development and

operation of new city

gas distribution projects

Fertilizer complexes at

Phulpur, Bhatinda,

Panipat, Bharuch

Ammonia plants at

Kalol, Taloja

Ammonia Urea complex

at Nigeria for Indorama

ShahJalal fertilizer

project at Bangladesh

for BCIC

Focus on Naphtha/ Gas

based fertilizer plants

Thermal power plants

for GAIL, OPGC* and

Reliance Power (RPL)

Nuclear power plants

for NPCIL* and NFC*

Solar thermal power

project of RPL

Thermal – Focus on

consultancy services for

balance of plant

Nuclear - Target

strategic engineering

consultancy

opportunities; pursue

collaborations with

technology providers

Fertilizers Mining & Metallurgy Infrastructure Power

zzzzzzzzzzzzzzzzzzzzz

Petrochemicals

2

* IPCL - Indian Petrochemicals Corporation Limited; OPaL - ONGC Petro-additions Limited; BCPL - Brahmaputra Cracker and Polymer Limited; NALCO - National Aluminium Company Limited; INDAL - Indian Aluminium Company Limited; HZL - Hindustan Zinc Limited; NMDC - National Mineral Development Corporation Limited ; HCL - Hindustan Copper Limited; JSWAL - JSW Aluminum Limited; GMDC - Gujarat Mineral Development Corporation Limited; OPGC - Orissa Power Gas Company; NPCIL - Nuclear Power Corporation Limited; NFC - Nuclear Fuel Complex

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Increased Focus in Overseas Geographies 3

UAE

NIGERIA

KENYA

ALGERIA

INDONESIA

VIETNAM

MALAYSIA

GHANA

LONDON

MILAN

SHANGHAI

MIDDLE EAST

(UAE, Kuwait,

Oman, KSA ..) VENEZUELA

EIL international offices

JV : “JABAL EILIOT” in Kingdom of Saudi Arabia

WOS: “EILAP” in Malaysia

Sector Country Client

Refinery Algeria Sonatrach (Formerly NAFTEC)

Refinery Oman Sohar

Refinery Kuwait KNPC

Refinery Indonesia WIKA

Refinery Kenya KPRL

Sector Country Client

Oil & gas processing UAE NPCC, ADCO

Oil & gas processing Vietnam Petro-vietnam

Pipelines UAE GASCO, TAKREER, NPCC,

ADNOC

Sector Country Client

LNG Algeria Sonatrach

Petrochemicals UAE BOROUGE, EQUATE

Petrochemicals Malaysia M/s Vinyl Chloride

(Malaysia) sdn. Bhd

Sector Country Client

Fertilizers Nigeria Indo Rama

Fertilizers Bangladesh BCIC

Fertilizers Malaysia Petronas Fertilizer (Kedah) Sdn.

Bhd.

Non Ferrous Bahrain ALBA

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Extensive Track Record and Strong Client Relationships

7 Petrochemical

Complexes

29 Mining & Metal

Projects

17 Turnkey Projects

Infrastructure

Projects

40 Offshore

Process Platforms

8 Fertiliser Projects

37 Oil & Gas

Processing Projects

42 Pipeline Projects

13 Ports & Storage

Terminals

Power / Captive

Power Projects

Refinery Projects including

10 Green-field Projects

BCPL

INDAL

BCIC

4

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Track Record in Refineries & Petrochemicals

Milestones

19 out of 22 Refineries in India

have EIL Footprints

Worked on a combined refining

capacity of more than 150 MMTPA

(3 million BPD) in India

Engineered 10 grass-root refineries

Involved in the establishment of 7

out of the 8 mega petrochemical

complexes in India

Currently executing two green field

and one brown field expansion

project

Forayed into new areas such as

underground caverns for storages

Refinery

Mega Petrochemical Plant

Koyali Refinery

ASSAM

BIHAR

GUJARAT WB

Haldia Refinery

UP

Panipat Refinery

HARYANA

MAHAR- ASHTRA

Mumbai Refinery

Mumbai Refinery

ANDHRA PRADESH

Visakh Refinery

Kochi Refinery

Manali Refinery

TN

Kerala

Nagapattanam Refinery

Guwahati Refinery

Barauni Refinery

Mathura Refinery

Bongaigaon Refinery

Numaligarh Refinery

Digboi Refinery

Mangalore Refinery KARNATAKA

Vadinar Refinery

PUNJAB

Guru Gobind Singh Refinery

Bina Refinery

MP

Assam Petro. Plant

BCPL

Haldia Petro. Plant

Panipat Petro. Plant

Dahej Petro. Plant

Pata Petro. Plant

Nagothane Petro. Plant

4

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Comprehensive technology related offering Technology driven organisation

Technology Driven Integrated Turnkey and Total Solutions Consultancy Services

State of the art R&D centre at Gurgaon …

…technology driven full range of services…

Process Design &

Residual

Engineering

Integrated

business 3

Configuration and

Feasibility studies

FEED Commissioning

Services

Specialized

Services

Technology

Licensing Services

5

6

1 2

4

1

2

EIL Process

Technologies

Vis-

breaking

Delayed

Coking

Sulphur

Recovery

LPG

Sweetening

Light Naphtha

Isomerization

Aromatic

Extraction

EIL has developed over 30 process technologies for the oil and gas processing, refineries and petrochemical industries

Currently holds 14 live patents and has 15 pending patent applications relating to various process technologies

Comprehensive environment engineering services

Comprehensive Hazop, Hazan, Risk and consequence analysis services

5

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23

Increased Focus on Diversification into Emerging Sectors

Driving growth by leveraging track record and capabilities into emerging sectors

Oil

& G

as

Exp

lora

tio

n

Nu

cle

ar

Po

wer

So

lar

Po

wer

Th

erm

al

Po

wer

LN

G

Gas b

ased

Fert

iliz

er

Pro

jects

Wate

r an

d W

aste

Man

ag

em

en

t

Cit

y G

as

Dis

trib

uti

on

Participated in the NELP IX bidding along

with four other consortium members

Signed the PSC with GoI for two

exploration acreages in 2012

Targeting strategic engineering

consultancy opportunities in the nuclear

power sector

Implementation of solar thermal and

photovoltaic power plants

Target project opportunities under JNNSM

scheme

Focus on EPC and BOO projects

EPC for balance of plant

PMC services for large power projects

Targeting upcoming LNG storage and re-

gasification projects in India and related

downstream infrastructures such as

pipelines

Explore EPC opportunities in Gas-based

fertilizer projects in India and

internationally

Feed conversion projects both for naphtha

and FO/ LSHS based projects

Provide integrated solutions

Focus on water desalination projects,

municipal sewage recycling projects,

industrial water, waste to energy projects

Alliances with specialist consultants and

contractors

Pursue strategic city gas distribution

projects through equity investments to own

and operate such networks

Evaluate strategic JV arrangements with

other entities that are currently operating in

the sector

6

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24

Focus areas Leadership development

Management of the Talent Portfolio

EIL’s HR initiatives to manage the diverse talent & business needs

Policies designed to provide the human resources an enabling

environment facilitating growth and rewarding them for contributions

Training interventions at various levels for developing the domain

expertise and enhancing managerial skills

Comprehensive knowledge management infrastructure

Employee centric HR policies reflected in lower attrition over

years

Employee attrition rate of 3.11 % in FY 13 and 2.11% as of Half

Yearly FY14

Over 3,300* permanent employees, including more than 2,890*

employees with technical and professional qualifications

In June 2009, launched “Aarohan”, a leadership program designed

to increase the leadership capabilities and competencies of our

employees

“Leaders Groom Leaders” program leverages on years of expertise

of leaders and ensures that knowledge & skills of the senior level is

not only upgraded but also disseminated

Self- Reflection &

Feedback

Cascading Learnings

Building Individual

Development Plans

(ILDPs)

Receiving Coaching

Measurement &

Tracking

Developmental

Experience

Through:

Learning through

Workshops &

Lectures

Implementing

Action Learning

Projects (ALPs)

Facets of LDP - Aarohan

7

* as of September 30, 2013

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25

Experienced Board and Leadership Team: Executive Directors

Ram Singh

Director (Finance)

Ashok K. Purwaha

Chairman &

Managing Director

Deepak Moudgil

Director (Projects)

Ajay N Deshpande

Director (Technical)

Sanjay Gupta

Director

(Commercial)

Veena Swarup

Director (HR)

32 years of experience in finance and cost accounting

Held positions with SAIL, BPCL, Petroleum Planning and Analysis Cell of MoP&NG, and the Oil Coordination

Committee

Conferred with Business Today Best CFO of a PSU (Mid size) Award-2013 and India CFO Award for Excellence

in Risk Management by IMA India

More than 36 years of experience in the hydrocarbon sector

Served with ONGC (more than 8 years) and with GAIL India Limited for over 24 years, last position held was as

Director (Business Development) on board of GAIL

Led Mahanagar Gas Limited, Mumbai (a JV of GAIL India Limited and BG Group, UK) as MD for 5 years

Over 38 years of experience in construction and projects

Successfully led EIL’s diversification into infrastructure sector

He has worked in various departments of EIL, including construction, administration, marketing and projects

33 years of experience in EIL spanning Oil & Gas, Refining & Petrochemicals segments

He has co-authored a total of four patent applications on behalf of the research and development of the Company

Currently responsible for functioning of Divisions in the Technical Directorate of EIL

33 years of experience in implementation of mega projects in refineries, pipelines and petrochemicals

Successfully implemented LSTK Project for PFCCU Project at MRPL

He has been entrusted the task of leadership for formulation of the strategy group responsible for EPC initiatives

as well as business growth initiatives within the Company in the past couple of years

30 years of experience in Human Resource management in the petroleum and natural gas sector

Prior to joining the Company, Ms. Swarup was with ONGC since 1983, where she headed the Performance

Management and Benchmarking Group, which steers the performance contracts and service level agreements

between board level and unit chiefs

Headed the SAP-HR Project for ONGC

8

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Experienced Board and Leadership Team: Non-Executive Directors

Government director nominated by MoPNG

Joined the Indian Economic Service in 1982

During 30 years in the government service, served in various economic ministries of the Government of India

Served as Secretary/Additional Chief Secretary/Principal Secretary of several departments in the Government of West

Bengal

Served as Joint Secretary, Cabinet Secretariat, Government of India and supervised work relating to the departments of

personnel and training, agriculture, feed and public distribution, consumer affairs, environment and forests, finance,

commerce, industry, law and chemicals & fertilizers

Served as the managing director of the WBPDCL and as chairman of the WBTDCL

Published/presented over 120 research papers and authored/edited 4 books

Received awards from the Institution of Chemical Engineers (U.K.) and the Indian Institute of Chemical Engineers

Currently serving as Director, Rajiv Gandhi Institute of Petroleum Technology, Rae Bareli

Dr. Archana

Saharya Mathur

Nominee Director

Bijoy Chatterjee

Independent Director

Dr. J. P. Gupta

Independent Director

Government director nominated by MoPNG

Officer of the Indian Administrative Services, currently holding post of Director General, Directorate General

Hydrocarbons

Previously held positions of Principal Advisor, Telecom Regulatory Authority of India, Joint Secy in the Ministry of

Finance, Development Commissioner (Handlooms), Ministry of Textiles and as Director on the Board of BPCL

R. N. Choubey

Nominee Director

Chairman and editorial director of IMA India, a business information company established in 1994

Advisor to several MNCs on India strategy

Successfully handled assignments in public policy, entry strategy planning, location audits, competitor analysis,

scenario planning and JVs

Aditya Jain

Independent Director

8

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27

Experienced Board and Leadership Team: Non-Executive Directors

39 years of work experience in the Indian administrative sector, including ten years in positions of a joint secretary

and above in the Government of India and Government of Gujarat

Handled the administrative divisions in the central ministries, dealing with several maharatna, navratna and mini

ratna companies such as IOCL, HPCL, BPCL, MMTC, EPCGC, ITDC, GSFCL, etc

Dr. Christy Leon

Fernandez

Independent Director

32 years of experience and has been associated with the legal service in the Ministry of Law and Justice

(Department of Legal Affairs)

Served as the union law secretary, monitoring the functioning of the department of legal affairs and functioned as

an arbitrator and appellate authority and disposed of more than 200 cases as the law secretary

Mr. Dhani Ram

Meena

Independent Director

Over 37 years of experience

Previously worked with Hindustan Petroleum Corporation Limited and held various positions of responsibilities in

the organization

Presently is a senior advisor to the University of Petroleum and Energy Studies, Uttarakhand

Dr. Vizia Saradhi

Vakkalanka

Venkateshwar

Independent Director

Worked as Vice Chancellor of University of Pune and presently holding the post of Director of IIT Delhi

He has been a visiting professor at University of Lincoln, USA; ETH, 153 Zurich, Switzerland; and ISEP Paris,

France

Has published more than 150 papers in international journals and conferences

Dr. R. K.

Shevgaonkar

Independent Director

EIL’s Board of Directors comprise of qualified & reputed individuals with long-standing experience across industry verticals

8

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Financials and Order Book Overview

3

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Order Book With Focus on High Margin Consultancy Business

29

Total Order Book: INR 32,234 mn*

Turnkey

Coker block for Resid Upgradation Project

of CPCL, Chennai

Pipeline and south jetty facilities for IOCL

Paradip refinery

Onshore gas processing complex at

Kakinada for GSPC

SPM , Pipeline and related facilities for

MRPL, Mangalore

PFCC, SRU and Polypropylene projects of

Phase III refinery project at Mangalore for

MRPL

Butene-1 project at Panipat for IOCL

Consulting –

Fixed Price Contracts

Integrated refinery expansion project (IREP)

at Kochi of Bharat Petroleum Corporation

Ltd (BPCL)

Dahej Petrochemical complex of OPaL

Interceptor project of DJB

Mallavaram-Bhopal-Bhilwara-Vijaipur

Pipeline Project (MBBVPL) for GSPL &

Gujarat India Transco Ltd. (GITL)

Mehsana-Bhatinda pipeline project of total

1600 KMs for GSPL

Consulting –

Cost / Rate Reimbursable Contracts

Petrochemical expansion project at GAIL

Vijaipur and GAIL Pata plants

Western onshore redevelopment project for

Mehsana, Ankleshwar and Ahmedabad

Assets of ONGC

Assam gas cracker complex at Lepetkata

for BCPL

* On a consolidated basis as on September 30, 2013

Consultancy and Engineering 54%

Turnkey 46%

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30

Consultancy & Engineering Revenue (INR mn)1 Turnkey Projects Revenue (INR Mn)1

Revenue Segmentation Total Income and Growth (INR mn)2

Financial and Operating Track Record

8,442

10,702 11,510

12,274 12,565

5,724

2008-09 2009-10 2010-11 2011-12 2012-13 H1 2013-14

7,079 9,385

16,953

24,915

12,703

3,473

2008-09 2009-10 2010-11 2011-12 2012-13 H1 2013-14

Consistent growth in Consulting & Engineering Segment

Note: All figures have been taken on a restated consolidated basis; 1Segment wise Revenue does not include Other Income; 2Total Income includes Other Income

17,063

21,903

29,872

39,365

27,734

10,383

2008-09 2009-10 2010-11 2011-12 2012-13 H1 2013-14

54% 53% 40% 33%

50% 62%

46% 47% 60% 67%

50% 38%

2008-09 2009-10 2010-11 2011-12 2012-13 H1 2013-14

Consulting and Engineering Turnkey

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Financial and Operating Track Record

31

EBITDA** Performance (INR mn)*

3,458

5,175

6,614

7,366

5,789

2,063

22%

26%

23%

20%

23%

22%

2008-09 2009-10 2010-11 2011-12 2012-13 H1 2013-14

EBITDA (INR mn) EBITDA Margin (%)

Strong EBITDA Margins during FY09 to FY13

* Note: All figures have been taken on a restated consolidated basis

** EBITDA: Earnings Before Interest, Tax, Depreciation and Amortization (does not include Other Income)

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32

Consultancy & Engineering Segment Profit (INR mn)* Turnkey Projects Segment Profit (INR mn)*

Financial and Operating Track Record

3,294

4,417

5,019

5,437

5,167

2,064 39%

41%

44%

44%

41%

36%

2008-09 2009-10 2010-11 2011-12 2012-13 H1 2013-14

Profit (INR mn) Profit (%)

377

1,008

1,972

2,454

1,105

241

5%

11%

12%

10%

9%

7%

2008-09 2009-10 2010-11 2011-12 2012-13 H1 2013-14

Profit (INR mn) Profit (%)

Consistently Healthy Profit Margins in Both Segments

* Note: All figures have been taken on a restated consolidated basis

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33

Earnings per Share – EPS (INR)* Return on Net Worth** (%)

Financial and Operating Track Record

9.6

13.5

15.5

19.1

17.1

6.6

2008-09 2009-10 2010-11 2011-12 2012-13 H1 2013-14

EPS (Basic and Diluted)

14,815

12,385

15,652

19,743

23,145

25,353

22%

37%

33%

33% 25%

9%

2008-09 2009-10 2010-11 2011-12 2012-13 H1 2013-14

Net worth (INR mn) Return on Networth (%)

Consistently delivering robust returns to shareholders

* Note: All figures have been taken on a restated consolidated basis

**Return on Net worth is Shareholder’s Funds excluding revaluation reserve/ Capital grant received against fixed assets

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Strong Dividend Payout History

34

Dividend Distribution (INR mn)*

1,218

6,967

1,956

2,350 2,357

38%

154%

38% 37% 41%

185%

1,060%

100% 120% 120%

2008-09 2009-10 2010-11 2011-12 2012-13

Gross Dividend incl. tax (INR) Dividend Payout including Dividend Tax (%) Dividend Rate (%)

During the Year 2:1 bonus

shares were issued.

Dividend is based on enhanced

capital after bonus

* Note: All figures have been taken on a consolidated basis

Consistent Dividend Track Record

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Shareholding Pattern

35

Shareholding pattern of the Company as on December 20, 2013

Promoters 80.4%

Mutual Funds/ UTI 1.4%

Financial Institutions/ Banks 0.7%

Insurance Companies 4.9%

FII 5.6%

Others 7.0%

Strong FII presence amongst Institutional Shareholding

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Business Outlook and Strategy

4

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220

139

105

39

90

132

58

221

60

89

48 29

104 122

44

China India Middle East Africa Latin America

Oil Refining NG Transmission&Dist. LNG

Sector Total 12th Plan Outlay (INR Bn)

Exploration & Production 2,837

Refinery & Marketing 1,056

Petro-Chemical 173

Total 4,066

37

Global Energy Demand to Grow By 4Bn toe over next 2 Decades Sustained Focus on Hydrocarbon Sector in India

Investments of US$ 224 Bn expected in Indian Oil & Gas Space

Energy and Hydrocarbons

Refineries

LNG re-

gasification

Petro-

chemicals

Fertilizers

Twelfth plan target

Expansion of existing refineries by 50.6 MMTPA

Commissioning of 30 MMTPA of new grassroot

refineries

Capacity to reach 50 MMTPA by 2016-17 from

13.60 MMTPA presently

Ethylene capacity estimated to increase from

3.867 MMT in 2011-12 to 7.087 MMT in 2016-17

Propylene capacity estimated to increase from

4.117 MMT in 2011-12 to 4.987 MMT in 2016-17

Gas based urea capacity to increase from 24

MMTPA at present to 32 MMTPA by 2016-17.

Emphasis on conversion of present naphtha/fuel

and oil based plants to use of natural gas as feed

stock.

Source: BP Energy Outlook 2030 - Jan 2013, World Energy Outlook, 2010 and 2011 Source: 12th Five Year Plan , Planning Commission

in US$ Bn (2010-2035)

12

13

14

15

16

17

2011 OECD Non- OECD

2011 Oil Natural Gas

Coal Non- fossil

Other Tight

Other

Shale

Nuclear

Hydro

Renew.* 2030 Level

(Bil

lio

n t

oe

)

Demand Supply

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38

Planned Infrastructure Expenditure (segment wise break up)

Approx $ 1 trillion projected investment in infrastructure in 12th Five

year plan

Power Capacity Addition During 12th Five Year Plan

Renewables include 15,000 MW wind, 10,000 MW solar, 2,100 MW

small hydro and the balance primarily from bio mass

Water Requirement For Various Sectors

688 910

1,072

56

73

102 63

130

52

72

80

813

1,093

1,447

2010 2025 2050

Irrigation Drinking Water Industry Energy Others

Non-Ferrous Metallurgy

3.0 MMTPA of Aluminum and 8.7 MMTPA of Alumina capacity

addition envisaged in 12th Five year plan

Copper demand is projected to grow 8% till 2015-16 is projected at

GDP

HCL, Birla, Sterlite have indicated expansion plans of production

capacities in the coming five years to meet the concentrate by

producing 1.34 million tonnes at the end of 2015-16

Infrastructure and Non Ferrous Metallurgy

Water Demand in km³ (or bcm)

Electircity 31%

Roads and Bridges

12%

Tele- communications

26%

Railways 8%

Irrigation 9%

Water Supply & Sanitation

4%

69,800 2,540 10,897

5,300

30,000 1,18,537

Coal Gas Hydro Nuclear Renewables Total

Source: 12th Five Year Plan , Planning Commission

(MW)

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39

Strategy for Future Growth

Focus on core strengths -

design, engineering and

construction

Pursue EPC contracts

Bid for large scale projects

Selectively form alliances

with key equipment

manufacturers

Strengthen presence in

Middle East, North Africa

and South East Asia –

creation of engineering

hub

Formulate entry strategy

for Latin America and

South Asia

Leverage track record

for related diversification

Target specific project

segments and industries

where EIL has a

competitive advantage

Technology and

knowledge development

Strategic alliances for

diversification

JVs and consortium for

EPC and overseas

Long term relationships /

MOUs with clients

Establish alliances and

share risks with strategic

partners with

complementary

resources, skills and

strategies

Develop relationships/

JVs with other EPC

players for bidding in

large projects

Maintain leadership

Expand international

operations

Selectively diversify

Focus on technology

and alliances

Strategic relationships

Road map to become a world class

globally competitive EPC and total solutions

company

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Thank You