Analyst Meeting 2Q/2011 - listed companyptt.listedcompany.com/.../AnalystMeeting_2Q2011.pdf · Highlights of 2Q/2011 •2011-2015 CAPEX plan revised from Bt 327 bn to Bt 330 bn •PTTCH

Analyst Meeting 2Q/2011

Contents

1/29

Highlights

Operational Results

Financial Performance

Economic & Market Outlook

Epilogue

Highlights of 2Q/2011

• 2011-2015 CAPEX plan revised from Bt 327 bn to Bt 330 bn

• PTTCH & PTTAR merger to be completed within October 2011

• Sakari Resources Limited, the new name of Straits Asia Resources Limited

Investment

Thai Premier Multinational Energy Company

• After gas leakage incident, 1st gas pipeline resumed operation on 15 August 2011

• GSP#5 shutdown for major turnaround (22 days) in June 2011

• PTT LNG Terminal started commissioning in June 2011, COD in August 2011

• PTT Asahi Chemical started commissioning in July 2011, COD in 4Q/2011

Operations

2/29

• 2Q/2011 Avg. Dubai Price at 111 $/bbl, increasing from 101 $/bbl in 1Q/2011

• Higher natural gas sales volume, from 4,145 to 4,330 MMSCFD

• 2Q/2011 Revenue at Bt 643 bn and Net Profit at Bt 33 bn

Key Performance

Contents

Highlights

Operational Results

Financial Performance

Economic & Market Outlook

Epilogue

3/29

PTTEP: Operating and Financial performance

Sales Volume Product price

Earnings continuously improved from both sales volume and price

Net Income (100%)2Q/11 Product Mix

196

77

2Q/10 1Q/11 2Q/11

263 271 273

Liquid

Gas

Unit: KBOED+ 4% YoY+ 1% Q0Q

5.55 5.92

74.54

108.95

46.2156.28

2Q/10 1Q/11 2Q/11

Liquid (USD/BBL)

Gas (USD/MMBTU)

Weighted Avg.(USD/BOE)

72%

28%

Liquid

Gas

45%

55%

Liquid

Gas

By Volume By Revenue

2Q/10 1Q/11 2Q/11

351 359 370

+ 5% YoY+ 3% Q0Q

Unit: MMUSD

4/29

PTTEP: Target Sales Volume

2010 2011 2012 2013 2014 2015

265 269

307323 329 317

Unit: KBOED

Target Sales Volume

MTJDA

Bongkot

Arthit

Others

KKD Oil SandsMTJDA

Vietnam 16-1

Montara

BongkotSouth

Algeria

M9

Revised sales volume based on Montara production in 1Q/2012

Total 1,043 MMBOE

Reserves Replacement Ratio 1.33 > 1

Reserve Life Index (year) 9

Policy

Proved Reserves

45%55%

Domestic

Overseas

5/29

Customer ProfileGas Volume

PTT: Natural Gas Sales & Transmission Pipeline Continuing demand growth from industry and IPP

2011

2009

EGAT (27%)

IPP (22%)

SPP (12%)

GSP (20%)

Industry (13%)

NGV (6%)

2010

+ 7% YoY+ 4% Q0Q

3,280

3,6063,677 3,686

3,802

4,055

4,152 4,1484,145

4,330

1Q 2Q 3Q 4Q

Unit: MMSCFD Unit: MMSCFD

1,166

968

511

880

558247

2Q/10 1Q/11 2Q/11

4,145 4,330

4,055

6/29

PTT: Gas Separation PlantsBetter earnings driven by sales volume and petrochemical prices

Product Prices

Note: 1/ SEA Spot (CMAI)

2/ MOP’S

Domestic LPG

PP 1/

HDPE 1/

Naphtha 2/

Unit : USD/Ton

Propane (9%)

NGL (11%)

Ethane (31%)

LPG (48%)

Sales Volume

Unit : KTon

+ 53% YoY+ 0.4% Q0Q

708

164

467

133

2Q/10 1Q/11 2Q/11

963

1,466 1,472

333 333

647

904

1,187

1,3731,340

1,661

2Q/10 1Q/11 2Q/11

7/29

0

2,000

4,000

6,000

2010 2011 2012 2013 2014 2015

Gas Demand Outlook

Expansion to meet future gas demand

PipelineCapacity

(MMSCFD) 5,580

4.3

GSPProduction

(MTA)

5,580

7.0 7.0

6,980

7.0

6,980

7.0

New Supply

PTTEP (Bongkot

South)

4,380

4th Onshore

PTTLNG

Offshore Compressor

PTTEP(M9)

PTTEP(JDA B17) Chevron

(Plathong)

6,980

6.3

Unit : MMSCFD

GSP#6

PTT: Gas Business

Power

GSP

IndustryNGV

68%

17%11%

4%

4%20%

14%

61%

8/29

PTT : Oil Marketing and International Trading Business Market leader in Thailand, going international

Thailand’s Market Share 2Q/2011

3%

34%

9%11%

10%

8%

25%

Others

1Q/11 2Q/11 QoQ

Oil Marketing Margin ¹ (THB/Liter)

0.81 0.86 6.2%

Sales Volume 2 (MM Liter)

3,714 3,690 -1.0%

Trading Margin(THB/Liter)

0.08 0.03 -62.5%

Trade Volume 3

(MM Liter)13,063 16,248 24.38%

Source : Department of Energy Business, PTT (Excluded supply sales and LPG & propane sold to Petrochem) ¹ Gross Margin included PTTRM and non-oil business2 Exclude PTTRM3 Exclude PTTT

Trusted Brand 2011 :Thailand’s Top Brand in Platinum Award for service station

• Best in class operationo Depot & Logistics management

• Expand non-oil businesses o Implement Amazon’s franchise o Launch community mall with gas station

plug-in model

• Grow Internationallyo Retail in Indochina++o Lube worldwide distributed in 21 countrieso Expand trading network

9/29

Petrochemical Affiliates Performance Higher performance from increased sales volume and spread margins

Note : 1/ SEA spot 2/ MOP’S Source : ICIS

Unit : MMTHB

Net Income (100%)Petrochemical Product Prices

698

977

1,340

1,661

1,187

1,373

810

1,142

1,579

2,045

1,881

2,403

2Q/10 1Q/11 2Q/11

HDPE1/

MEG1/

LightNaphtha2/

PP1/

Unit: USD/Ton

BPA1/

Phenol1/

6,433

1,205

1,077

48

2Q/10 1Q/11 2Q/11

3,679

8,220

8,763

PTT Phenol

PTTCH

+ 138% YoY+ 7% Q0Q

HMC Polymers

Others

10/29

Major expansion in 2011

Petrochemical Roadmap

2011 2012 onwards

PTT 49.14%

Olefins 2,888 KTA

Polymers 990 KTA

EO-Based 495 KTA

Oleochemicals 819 KTA

HDPE 300 KTALDPE 300 KTA

PTT 40.00%

Phenol 200 KTA

Acetone 125 KTA

Bis-Phenol-A 150 KTA Phenol 250 KTAAcetone 154 KTA

PTT 41.44%

PP 450 KTA PP 300 KTAPropylene 310 KTA

PTT 48.50%

AN 200 KTAMMA 70 KTA

PTT 50.00%

PBS 20 KTA

11/29

968

1,502

903

1,136

698

977

2Q/10 1Q/11 2Q/11

3.66

12.59

6.66 5.86

15.31

8.66

2Q/10 1Q/11 2Q/11

Source : PTT, Refining Associates

Note: Weighted Avg. GRM of PTT’s associates’ complex refineries (TOP, PTTAR, SPRC and BCP)

Weighted Avg. GIM of PTT’s associates’ integrated refineries (TOP, PTTAR and IRPC)

Account GRM/GIM = Market GRM/GIM + Hedging Gain/Loss + Stock Gain/Loss

3,245

2,141

1,840

2,980

3,021

2Q/10 1Q/11 2Q/11

13,227

21,017

2,904

Unit : USD/BBL Unit : MMTHB

Aromatic Prices

Net Income (100%)

Benzene¹

A/C GIM

Unit : USD/Ton

Accounting GRM & Accounting GIM

A/C GRM

PX¹

Refining Associates PerformancePerformance affected by lower inventory gain and tighter aromatics spread

Light Naphtha¹

¹ MOP’S

+ 355% YoY- 37% Q0Q

*SPRC’s Net Income is unreviewed F/S

BCP

IRPC

SPRC*

PTTAR

TOP

12/29

Refining RoadmapFocus on value creation and products quality improvement

2011 2012 2013 2014 2015

PTT 49.10%

Refining Cap. 275 KbpdPX 489 KTAMX 90 KTABZ 177 KTATol 144 KTA

EURO IV

VLCC 2 MMBBL

PX & BZ Upgrading

• PX 100 KTA

• BZ 100 KTA

Ethanol UBE

400 KLiter/day

HCU Revamp Phase I-PSA

Benzene Derivatives-LAB100 KTA

Power Plant 110 MW

PTT 48.49%Refining Cap. 280 KbpdPX 1,190 KTA BZ 655 KTA CX 200 KTAOther 214 KTA

EURO IV

PTT 38.65%

Refining Cap. 215 KbpdAromatic 367 KTAOlefin 728 KTA Polyolefin 615 KTA

Power plant

220 MW

(COD Jun 1)

Propylene Booster

• Propylene

100 KTA

ABS/SAN Expansion

• ABS/SAN 61 KTA

PP Compound and Specialties100 KTA

Propylene 320 KTA

PTT 27.36%

Bangchak

Refining Cap. 120 Kbpd

EURO IV

Solar Power Plant Ph I 38 MW(8 MW: COD Aug 2011)

Ethanol TAE

365 KLiter/day

Solar Power Plant Ph II

32 MW

Ethanol UBE

400 KLiter/day

Solar Power Plant Ph III

48 MW

Algae Energy30,000 Liter/Day

Palm Plantation45 Tons/Hour

Expansion project 13/29

2,214

263

2Q/10 1Q/11 2Q/11

14

PTT: Coal business

14

Expected production boost-up from the Northern lease license

Sales Volume & Price Production Profile

Unit : MMTon

Reserves Resources

2,858

Unit : KTon

Net Income (100%)

Unit : MMUSD

2,679 2,477

+ 68% YoY- 6% Q0Q

72

95

- 13% YoY- 8% Q0Q

Avg. selling price USD/Ton

Jembayan

Sebuku

2Q/10 1Q/11 2Q/11

23

41 39

2%

98%

Sebuku

Jembayan

60%

40%

Jembayan

Sebuku

2008 2009 2010 2011 Target

2012 Target

2013 Target

8.5 910.7

11.514

17

Jembayan

Sebuku

1,505 MMTon125 MMTon

14/29

Contents

Highlights

Operational Results

Financial Performance

Economic & Market Outlook

Epilogue

15/29

Financial Performance

Dubai (USD/BBL)

EBITDA

Net Income

EPS (THB/Share)

Earnings slightly declined QoQ mainly from refining associates

Unit : MMTHB + 30% YoY+19% Q0Q

Revenue

2Q/1178 101 111

495,339 540,857643,577

2Q/10 1Q/11 2Q/11

43,465 51,85355,054

2Q/10 1Q/11 2Q/11

+ 27% YoY+ 6% Q0Q

17,02434,524 32,528

2Q/10 1Q/11 2Q/11

+ 91% YoY- 6% Q0Q

6.00 12.12 11.40

75%

15%

6%4%

PTT – Oil & Trading

PTT – Gas

OthersPTTEP

21,163

MMUSD

6%

34%

55%

5%

PTT – Oil & Trading

PTT – Gas

Others

PTTEP

1,810

MMUSD

42%

24%

12%

20%2%

PTT

Petrochemicals

Others

PTTEP

1,060

MMUSD

Refining

16/29

% share

Unit : MM Baht 1Q/11 2Q/11 QoQ 1Q/11 2Q/11 QoQ

PTT Company Only 19,628 19,888 1% 19,628 19,888 1%

Less: Dividend Received 5,466 5,134 -6% 5,466 5,134 -6%

Gain from sell PTTCH 989 989

PTT Net operating Income 14,162 13,765 -3% 14,162 13,765 -3%

E&P - PTTEP 10,979 11,170 2% 65.31% 7,244 7,704 6%

Petro. - PTTCH 6,178 6,433 4% 49.14% 2,923 3,023 3%

- HMC/PPCL/PTTPL/PTTPM/PTTAC

/ PTTME/PTTTANK2,042 2,330 14% 40-48% 948 1,054 11%

8,220 8,763 7% 3,871 4,077 5%

Refining - TOP 7,228 3,245 -55% 49.10% 2,525 2,705 7%

- IRPC 3,499 2,980 -15% 38.65% 1,460 846 -42%

- PTTAR 4,979 2,141 -57% 48.49% 2,265 1,165 -49%

- SPRC 3,887 1,840 -22% 36.00% 1,374 800 -42%

- BCP 1,424 3,021 29% 27.36% 306 922 201%

21,017 13,227 -37% 7,930 6,438 -19%

Inter- PTTI group(PTTAPM,EMG,PTTML,FLNG)

,PTTGE-584 -31 95% 100% -581 -31 95%

Gas &

Utilities-TTM/PTTNGD/IPT/TP/DCAP/CHPP 832 1,073 29% 20-100% 349 439 26%

Oil & Oth.- PTTRB/PTTT/SBECL/THAPPLINE/

/PTTCL/TLBC/ICT/EnCo1,590 -402 -125% 33-100% 1,549 -434 -128%

Shared of Net Income from Affiliates 42,054 33,800 -20% 20,362 18,193 -11%

Add Gain (Loss) on sales of investments in Associates 0 570 0 570

PTT Conso. Net Income 56,216 48,135 -14% 34,524 32,528 -6%

Performance 100% Equity Method % PTT

PTT Group Performance

17/29

11.0 12.3

0.4 0.5 1.4

1.7

2010 1H/11

496,661 564,235

368,515

420,670

206,348

260,816 157,585

111,833

557,414 605,289

371,029 404,288

300,666

347,977

Other Liabilities

PP&E

Others Non-

currentAssets

OtherCurrentAssets

L/TLiabilities(incl. due within 1 yr)

TotalEquity

Unit: MMTHB

Cash & S/T Invest

Statement of Financial Position: Solid and Secured

• GSP#6

• 40% KKD Oil Sand

• PTTLNG

• WIP of 4th pipeline , PTT Asahi

Net Debt/EBITDA

Net Debt/Equity

ICR

Strong Financial Position

• Treasury policy

− Net Debt/Equity < 1.0

− Net Debt/EBITDA < 2.0

• PTT ratings at sovereign level

− FC : Moody’s (Baa1), S&P (BBB+),

JCR (A-), FITCH (BBB)

− LC : Moody’s (Baa1), S&P (BBB+),

JCR (A), FITCH (A-)

31 Dec10 30 Jun 11

1,229,109

• ESP

• WIP of Montara & Bongkot,

PTTLNG, PTT Asahi, GSP6,

& PTT Tank

Growing Assets with strong financial position

1,357,554

18/29

+ 10%

Contents

Highlights

Operational Results

Financial Performance

Economic & Market Outlook

Epilogue

19/29

Economic & Market Outlook

• Global economy may grow at a slower pace although driven by the developing and the emerging countries. IMF projected 2011 growth at 4.0%.

• U.S. economic recession will not recover soon despite an increase of federal debt limit.

• Tight monetary policy of China

3Q/2011 Global Economic Outlook

3Q/2011 Thailand’s Economic Outlook

• Thai economy is also expected to expand in line with global economy. NESDB estimated 2011 growth 3.5 – 4.5%.

• More stable political environment after the election?

• Export should not be seriously impacted by U.S./EU problem, as 63% of export in Asian Market.

20/29

Economic & Market Outlook

• Dubai crude oil price is expected to move in the range of $100-110/bbl + Continuing political unrest in MENA and Hurricane season in the U.S.- U.S. and European economy recovery still in doubt

• Avg. market GRM would be in the range of $6-7/bbl due to strong power plant demand in China and resumed operations of Japanese plants.

• Olefins petrochemical market spread is expected to maintain from restocking, while oversupply still exists.

• Aromatics petrochemical spread margin is expected to increase from restocking and higher demand of additional PTA plants.

3Q/2011 Market Outlook

21/29

Contents

Highlights

Operational Results

Financial Performance

Economic & Market Outlook

Epilogue

22/29

Key AchievementWe move forward to achieve our aspiration “To become Global Fortune 100 Company”

37,580

62,666

85,521

95,582 97,804

51,70559,548 67,052

2003 2004 2005 2006 2007 2008 2009 2010 1H2011

Net Income(MMTHB)

0.5 0.60.9

1.21.5

2.0

1.6

1.9Sales Revenues(Trillion THB)

118

155

128

207265

373456

83,088

23/29

135

Key AchievementWe always seek opportunities to continuously expand our businesses

2003 2004 2005 2006 2007 2008 2009 2010 2011

Debt Restructure

Thai Shell E&P: S1

InvestmentCoal businessPTTGE

EMG

Gas pipeline#3

GSP#6

GSP#5

ESP

M&A

Listed in SET

Core Business& Expansion

Coal business

NGVCity Gas

Oil Sands KKD

Montara

24/29

TPXTLB

Ethane CrackerLLDPE / LDPE

Euro IV

AR3PTT Phenol

PTT Asahi

PP / PDH

BPA

Xayaburi

/ SPPs

Power business

Key AchievementWe successfully expand our portfolio both domestically and internationally

REFINING

TRADING

NEW

BUSINESS

PETRO-

CHEMICALS

OIL

Natuna

OCAMyanmar

• Australia• Middle East / Africa• Indochina Basin• Deep Water• FLNG

• Neighboring Countries• FLNG / LNG• Gas Value Chain

• Synergy/ Amalgamation

• Bio-fuel

AsiaEurope

MEAfrica

S.America

Gasoil

Jet/Gasoil

FO

Jet/Gasoil

Crude

Aromatic

Product

Crude

Crude

Crude

AsiaEurope

MEAfrica

S.America

Gasoil

Jet/Gasoil

FO

Jet/Gasoil

Crude

Aromatic

Product

Crude

Crude

Crude

• Global Network

• Specialties• Bio-plastic• International

Partnership

• Community Mall: “Retail Business &wholesales Oil”

• Indochina++ Market

• Coal• Palm• Power

Active PTTEP investment country

Potential country

GAS

E&P

25/29

Key AchievementWe also contribute to the society tirelessly

26/29

การบรหารจดการพนทมาบตาพด

การพฒนาสงคมและชมชน

- รายงานใน GRI Report ปรบระดบจาก B A

(ป 52) (ป 53)

บรณาการเรอง CSR ไวในกระบวนการทางธรกจ

Global

Area Base

• เพอใหสอดคลองกบมาตรฐานสากล• น าไปปฏบตไดในทกมต

CSR Framework CSR ImplementationGuide

CSR Process Implementation(PTT Group in MTP & Gas BU)

• ผลกดนนโยบายการบรหารจดการ CSR และการสอความกลม ปตท. ในระยอง

• ก าหนด Road Map 3 ดานส าคญ ไดแก 1) พฒนาคณภาพชวตทด ใหกบชาวระยอง กนด อยด มสข 2) พฒนาสงแวดลอมใหเมองระยองนาอย Green Industrial town 3) เพมโอกาสทางการศกษาแกเดกและเยาวชนระยอง เดกด เดกเกง

• ด าเนนงานในนามกลม “เพอนชมชน” พฒนาตนแบบโรงงานเปนมตรตอสงแวดลอม โดยมกลมงานประกอบดวย (1) Operation TF (2) CSR TF (3) Communication TF

1. การพฒนาศกษา: สรางคนเกงคนด

2. การพฒนาชมชน: ชมชนเขมแขง/ยงยน

3. การจดการความหลากหลายทางชวภาพ: อนรกษ/ฟนฟสงแวดลอม

Country

4. การดแลสงแวดลอม: สรางสขภาวะ/คณภาพชวต

5. การพฒนาเครอขายทางสงคม: สรางชอเสยงใหประเทศ

6. คานยมในองคกร: จตอาสาเพอสงคม

PTT AspirationStrategic direction and target to achieve “Big-Long-Strong” aspiration

“Thai Premier Multinational Energy Company”

Big

“Top quartile performance”

Dow JonesSustainabilityIndexes

Long

Expand resources Maximize value along

the chain

Balance stakeholder excellence

Big

Long

Strong

Drive functional excellence and synergy Share best practice and

knowledge management

27/29

Strong

PTT WayHeritage from previous generation to new generation

28/29

Welcome New CEOHeritage from previous generation to new generation

29/29

Thank you

PTT Public Company Limited – Investor Relations DepartmentTel. +66 2 537-3518, Fax. +66 2 537-3948, E-mail: [email protected]

http://www.pttplc.com, http://www.twitter.com/PTTIR

The information contained in our presentation is intended solely for your personal reference only. In addition, such

information contains projections and forward-looking statements that reflect our current views with respect to

future events and financial performance. These views are based on assumptions subject to various risks and

uncertainties. No assurance is given that future events will occur, that projections will be achieved, or that our

assumptions are correct. Actual results may differ materially from those projected.

Disclaimer

2011 PTT Group Strategic DirectionInvestment priorities by geography and value chain

UpstreamP&R

Non-oil Retail

Oil

& G

as

Retail

UpstreamUpstream

UpstreamMidstream

UpstreamCoal

Ad

jace

nt

ind

ustr

y

Trading

Create P&R flagship and internationalize chemical business

Explore opportunities in non-fuel retail

Oth

ers

InternationalizationG

ree

n E

ne

rgy/

ma

teri

als

Infrastructure

Build Green business (ASEAN biohub) Bio-business

Div

ers

ific

ati

on

Non- AsiaEuropeNon- AsiaAfrica Non- AsiaAmericasNon- AsiaMiddle East

Australia, N. Asia and S. AsiaASEAN

Expand production to 900 kbd

Build LNG business & expand mid-/ downstream gas value chain

Support group inv.

Alt. energyBuild Thai clean power, monitor opport. in ASEAN

Grow coal mining to large scale

UpstreamPower Build Thailand Gas, follow int. gas value chain expansion, opportunistic coal

Expand oil station related business and spin off lubricants

Strengthen integrated hub (e.g. Gr. Marine)

Consolidate petroleum commodities and create value through international transactions

PlantationsDevelop palm oil, sugar and cassava

Top oil and gas player

Energy conglomerate

Business conglomerate

Priority 1 Priority 3Priority 2 based on market attractiveness and potential for PTT Group to be distinctive 31

Gas 36%

LNG 3%

Oil & Trading 4%

R&D / Others 4%

Others

26,509 29,87120,986

32,134

10,205

41,47056,703

28,124

28,282

19,334

R&D / Others

JV

LNG

Oil & Trading

Gas

CAPEX 2011 - 2015 330,052

Committed projects 235,814

M&A opportunities 94,238

94,091

58,339

Unit: MMTHB

PTT: CAPEX (PTT and wholly owned Subsidies)PTT plans to invest ~Bt 330 bn ($11bn) during 2011-2015

79,276CAPEX Breakdown : 5 Years

By Business Unit64,889

2011 2012 2013 2014 2015

33,456JV

53%

32

% share

Unit : MMTHB 1H/10 1H/11 YoY 1H/10 1H/11 YoY

PTT Company Only 25,398 39,516 56% 25,398 39,516 56%

Less: Dividend Received 8,066 10,600 31% 8,066 10,600 31%

Gain from sell PTTCH 0 989 0 989

PTT Net operating Income 17,332 27,927 61% 17,332 27,927 61%

E&P - PTTEP 21,623 22,149 2% 65.31% 14,159 14,948 6%

Petro. - PTTCH 5,474 12,611 130% 49.14% 2,673 5,946 122%

- HMC/PPCL/PTTPL/PTTPM/PTTAC

/ PTTME/PTTTANK2,371 4,372 84% 40-48% 980 2,002 104%

7,845 16,983 116% 3,653 7,948 118%

Refining - TOP 3,056 10,473 243% 49.10% 1,457 5,230 259%

- IRPC 3,562 6,479 82% 38.65% 1,189 2,306 94%

- PTTAR 1,826 7,120 290% 48.49% 889 3,430 286%

- SPRC 1,916 5,727 199% 36.00% 647 2,174 236%

- BCP 1,199 4,445 271% 27.36% 349 1,228 252%

11,559 34,244 196% 4,531 14,368 217%

Inter - PTTI group(PTTAPM,EMG,PTTML,FLNG),PTTGE -962 -615 36% 100% -964 -615 36%

Gas &

Utilities-TTM/PTTNGD/IPT/TP/DCAP/CHPP 1,085 1,905 76% 20-100% 658 788 20%

Oil & Oth.- PTTRB/PTTT/SBECL/THAPPLINE/

/PTTCL/TLBC/ICT/EnCo320 1,188 271% 33-100% 430 1,118 160%

Shared of Net Income from Affiliates 41,470 75,854 83% 22,467 38,555 72%

Add Gain (Loss) on sales of investments in Associates 0 570 0 570

PTT Conso. Net Income 58,802 104,351 77% 39,799 67,052 68%

Performance 100% Equity Method % PTT

PTT Group Performance improved YoY

33

1H10 1H11 1H10 1H11

Operating 54,842 49,759 CAPEX & Investment (55,210) 104,454)

EBITDA & Non-Cash Adjustment 59,745 83,290 CAPEX (PP&E, Intangible asset) 22,103) (43,827)

Changes in assets & liabilities (4,903) (33,530) Investment (Sub. &Affiliates) (1,396) (77,117)

Dividend/Interest Received 6,103 6,026

Others (13,983) 10,464

Free Cash Flow Finance (14,810) 16,160

(369) (54,694) Issued Loans/Bonds 30,321 51,984

Repayment Loans (18,685) (2,156)

Redemption Bonds (6,000) (8,000)

Interest Paid 7,096) (8,460)

Share Issued 1,232 2,559

Dividend Paid (14,582) (19,767)

Adjustment (1,401) 548

Effect of FX on Cash & Cash Equivalent (1,377) 810

Currency Translation Differences (24) (262)

Ending Cash & Cash Equivalents

Beginning Cash & Cash Equivalents

Cash in (Out)

87,476 97,814 104,056 135,801 (16,580) (37,987)

Statements of Cash flows For the June 30, 2011 & 2010

Unit : MMTHB

34

Debt Profile : Control Cost & Manage Risk

Debt Portfolio

Managed debt according to financial risk and policy

ConsolidatedPTT OnlyUnit : MMTHB

193,454 197,877 189,779

258,991 255,860 247,539

63,979 68,308 68,410

84,147114,442

155,986

31 Dec 09 31 Dec 10 30 Jun 11 31 Dec 09 31 Dec 10 30 Jun 11

USD

THB

343,138

266,185257,443

370,302

(25%)

(75%)

(26%)

(74%)

(31%)

(69%)

(25%)

(75%)

: Cost of debts ~ 5.08 %

: % fixed-rate ~ 90 %

: Avg. debt life ~ 7.5 years

Note : Data as of 30 Jun 2011 (THB/USD = 30.8882 THB/JPY = 0.3857 ) Excluding liabilities from finance leases; Cost of debts includes withholding tax.

258,189

(26%)

(74%)

403,525

(39%)

(61%)

35

: Cost of debts ~ 4.38 %

: % fixed-rate ~ 82.8 %

: Avg. debt life ~ 6.4 years

Coal

PowerPalm Plantation

Pipeline

8.5 9 10.711.5

1417

2008 2009 2010 2011 2012 2013

Jembayan Sebuku

Future Growth of PTT

PTT International

Unit : MM Ton

2011 Xayaburi Hydro 1,285 MW

2012Onwards

Expanding in neighboring

countries

SAR

PTT Green Energy

EMG (Egypt)

• 147,000 Ha land acquired

o Potential 78,000 Ha in 2011

• 11,045 Ha planted

o Additional 9,000 Ha has been

prepared in 2011.

• 45 T/Hr CPO Mill has been completed

• Acquired Izin Prinsip for the Northern Leases at Sebuku

• Potential reserves in Brunei & Madagascar projects

• Investing 25% in EMG

• Offshore natural gas pipeline system

from Egypt to Israel

• 2010 Sales volume = 2.1 BCM/y

• 2011 Average sales volume target up to 3 BCM/y

36

59.946.2

59.9

139

2008 2009 2010 2020

Revenue (Billion USD)

37

PTT’s Strategic Importance to the Thai Economy

PTT has the largest market cap on the SET

Data as of 18 March 2011

OTHERS 76.2%

PTT10.5%

PTTEP6.1%

PTTCH2.5%

TOP1.6%

IRPC1.2%

PTTAR1.3%

BCP & OTHERS

0.6%

PTT Group23.8%

Ministry of Finance holds majority stake in PTT

Thai Premier Multinational Energy Company

SET Market Cap = Baht 8.9 trillion

Data as of 15 August 2011

Remark: * DJSI = Dow Jones Sustainability Index

Rev.of 100th company in Fortune Global 500 (Billion USD)

Fortune Global 500 Ranking

64.9 65.068.1

118

155

128

100

Need new initiatives

Vayupak Fund 15%

Public 34%

Ministry of

Finance 51%

Thailand’s projected energy demand

Source : EPPO/ PDP 2010/ PTT team analysis38

Thailand’s projected energy demand

0

20,000

40,000

60,000

80,000

100,000

120,000

140,000

160,000

180,000

Commercial Primary Energy Consumption

38%

33%

14%

13%

Oil

Natural Gas

Coal/Lignite

Hydro/Import

KTOE

27%

33%

17%

6%

15%

Renewable

2%

163,299

145,162

127,145

106,939

87,651

32%

38%

14%

13%3%

29%

35%

16%

5%

14%

31%

37%

15%

4%13%

2%

1%Nuclear

Natural Gas : Strong and Increasing Demand over Long TermNatural gas is a fuel of choice for power producers and transportation industry

0

1,000

2,000

3,000

4,000

5,000

6,000

2000 2002 2004 2006 2008 2010 2012 2014 2016 2018 2020 2022 2024 2026 2028 2030

mmscfd

Source : PDP 2010

Power

GSP

Industry

77%

17%

8%

1,970

11%

16%

19%

68% 61%

Gas demand forecast (CAGR during 2010-2030): Total ~ 1%: Power ~ 1%: GSP ~ 2%: Industry ~ 3%: NGV ~ 1%

15%

NGV

4%

4%

5,236

39

4040

Natural Gas Price Structure

CustomersSales Price Structure

Gas Pool Price Supply Margins Pipeline Tariffs+ +

Power Producers 61%

: EGAT 28%

: IPP 21%

: SPP 12%

Average Purchased Gas Price

1.75%

1.75%

9.33%

21.7 Bt/MMBtu

GSP 21% Charged at the same price structure of power producers

Petrochemicals Feedstocks:

Reference to Saudi Aramco’s contract price

Industry 12% Charged at prices comparable to fuel oil

Gas prices are mostly agreed under long-term contracts and volatility pass-through to ensure stable returns.

NGV 6% Capped at 8.5 Baht/Kg*

* Government subsidies Baht 2 /kg from Oil Fund until September 30th , 2011

Ethane, Propane, LPG Profit-sharing mechanism based on market prices of petrochemicals

NGL Reference to Naphtha market price

Local Cooking Gas

Export Cooking Gas

Capped at 333 USD/ton

• Contract periods are ~ 25-30 years or until depletion of gas fields or the expiration of concessions

FX Rate vs. Oil PriceOil price normally moves contrarily to USD currency

41

Greece Crisis

DowngradeU.S.

Unrest inME&NAQE2

OPEC cut Production & SP

27.00

28.00

29.00

30.00

31.00

32.00

33.00

34.00

35.00

40

50

60

70

80

90

100

110

120

130THB/USDUSD/BBL

FX

Dubai

WTI

42

91.1

116.8 113.3

52.744.1

59.167.9

75.4 75.9 78.0 73.9 84.4

100.5

110.7

0

20

40

60

80

100

120

140

160

1Q/08 2Q/08 3Q/08 4Q/08 1Q/09 2Q/09 3Q/09 4Q/09 1Q/10 2Q/10 3Q/10 4Q/10 1Q/11 2Q/11

Dubai FO ULG95 MOP'S HSD MOP'S

Dubai 91.1 116.8 113.3 52.7 44.1 59.1 67.9 75.4 75.9 78.0 73.9 84.4 100.5 110.7

FO 74.6 92.6 102.6 45.1 39.0 53.4 64.9 70.9 72.8 71.4 69.1 76.1 93.3 102.1

Gasoline MOP'S 105.1 129.8 119.6 56.7 54.8 68.8 76.8 80.5 88.2 87.5 82.5 95.0 113.1 125.0

HSD MOP'S 114.4 154.5 139.5 70.5 53.2 66.4 74.9 81.6 85.2 89.5 86.3 96.0 118.7 130.8

Oil Prices Movement: Our Key Value Driver

Price (USD/BBL)

Crude FO Gasoline HSD

2Q/11 vs 1Q/11 10% 9% 11% 10%

2Q/11 vs 2Q/10 42% 43% 43% 46%

Petroleum prices

42

Dubai 2010 avg. = $78/bbl

Dubai 2009 avg. = $62/bbl

43

Aromatics prices

$/Ton$/Ton

LPG Naptha PP HDPE

2Q/11 vs 1Q/11 7% 25% 15% 8%

2Q/11 vs 2Q/10 21% 26% 22% 14%

Benzene ParaXylene

2Q/11 vs 1Q/11 -1% -7%

2Q/11 vs 2Q/10 26% 55%

832

914854

877

1,510

1,6611,607

1,373

0

200

400

600

800

1,000

1,200

1,400

1,600

1,800

2,000

LPG Naphtha PP HDPE

Petrochemical prices

1,051

1,136

1,169

1,502

0

200

400

600

800

1,000

1,200

1,400

1,600

1,800

2,000

Benzene PX

Source: PLATTS & ICIS 43

Petrochemical Market Reference Prices: Driven by Crude Oil Price

Subsidiaries ConsolidatePTT (Cambodia) Co., Ltd. PTTCL 100.00%Subic Bay Energy Co., Ltd. SBECL 100.00%PTT Retail Business Co., Ltd. PTTRB 100.00%PTT Green Energy Pte. Ltd PTTGE 100.00%Retail Business Alliance Co., Ltd. RBA * 49.00%

Associates EquityKeloil-PTT LPG Sdn. Bhd. KPL 40.00%Vietnam LPG Co., Ltd. VLPG 45.00%Thai Petroleum Pipeline Co., Ltd. THAPPLINE 33.19%PetroAsia (Thailand) Co., Ltd. PA(Thailand) 35.00%

Others CostPetroAsia (Huizhou) Co., Ltd. PA(Huizhou) 25.00%PetroAsia (Maoming) Co., Ltd. PA(Maoming) 20.00%PetroAsia (Sanshui) Co., Ltd. PA(Sanshui) 25.00%Intoplane Services Co., Ltd. IPS 16.67%Fuel Pipeline Transportation Co., Ltd.FPT 2.76%

Others Fair ValueBangkok Aviation Fuel Services Plc. BAFS 7.06%

44

Others

Subsidiaries ConsolidatePTT Exploration & Production Plc. PTTEP 65.31%PTT Natural Gas Distribution Co., Ltd. PTTNGD 58.00%PTT LNG Co., Ltd. PTTLNG 100.00%Combined Heat and Power producing Co.,Ltd CHPP 100.00%

Joint Ventures ProportionateTrans Thai-Malaysia (Thailand) Co., Ltd. TTM (T) 50.00%Trans Thai-Malaysia (Malaysia) Sdn. Bhd. TTM (M) 50.00%District Cooling System and Power Plant DCAP 35.00%

Associates EquityThai Oil Power Co., Ltd. TP 26.00%Independent Power (Thailand) Co., Ltd. IPT 20.00%PTT Utility Co., Ltd. PTTUT 40.00%B.Grimm BIP Power Co., Ltd. B.Grimm BIP 23.00%Nava Nakorn Electricity Generation Co.,Ltd NNEG 30.00%

Others CostRatchaburi Power Co., Ltd. RPCL 15.00%

Petrochemical Subsidiaries ConsolidatePTT Polymer Marketing Co., Ltd. PTTPM 50.00%PTT Polymer Logistics Co., Ltd. PTTPL 100.00%PTT Tank Terminal Co., Ltd. PTTTANK 100.00%

Associates EquityPTT Chemical Plc. PTTCH 49.14%PTT Phenol Co., Ltd. PPCL 40.00%PTT Maintenance and Engineering Co., Ltd.PTTME 40.00%

Joint Ventures ProportionateHMC Polymers Co., Ltd. HMC 41.44%PTT Asahi Chemical Co., Ltd. PTTAC 48.50%PTT MCC Biochem Co., Ltd. PMBC 50.00%

Refining Associates EquityThai Oil Plc. TOP 49.10%PTT Aromatics and Refining Plc. PTTAR 48.49%IRPC Plc. IRPC 38.65%Star Petroleum Refining Co., Ltd. SPRC 36.00%Bangchak Petroleum Plc. BCP 27.36%PTT Energy Solutions Co., Ltd. PTTES 40.00%

Others Fair ValueDhipaya Insurance Plc. TIP 13.33%

Subsidiaries ConsolidatePTT International Co., Ltd. PTTI 100.00%Energy Complex Co., Ltd. EnCo 50.00%Business Service Alliance Co., Ltd. BSA * 25.00%

International Trading Business Group

Subsidiaries ConsolidatePTT International Trading Pte. PTTT 100.00%

Remark : * Subsidiaries that PTT holds less than 50% but being consolidated because PTT has the power to control the financial and operating policies.

Petrochemicals & Refining Business Group

Associates EquityPTT ICT Solutions Co., Ltd. PTTICT 20.00%

E&P and Gas Business Group Oil Business Group

Data as of 30 June 2011

Recognition: Awards 2010-2011PTT is widely recognized among business communities both international and local

7th Top Asia Energy Companies of 201035th Top Global Energy Companies of 2010

128th Fortune Global 500 of 2011(155th in 2010 / 118th in 2009) 196th The Biggest Listed Companies in the

World 2010(244th in 2009 / 205th in 2008)

Best CEO 2010Best CFO 2010Best Managed Company 2010Best Corporate Governance 2010Best Investor Relations 2010Best Corporate Social Responsibility 2010Best Commitment to Strong Dividend Policy 2010

Asian Corporate Director Recognition Awards 2011

• Asia’s Best CEO• Asia’s Best CFO• Best IR Website/Promotion • Best Environmental Responsibility • Best Investor Relations• Best IR Officer

Thai BMA Best Bond Awards 2010• Deal of the Year• Most Creative Issue• Best Investor Relations Issuer

SET Awards 2010• Top Corporate Governance Report Award

Trusted Brand 2011• Thailand’s Top Brand in Platinum Award

for service station

Outstanding State Enterprise Award 2010• Best State Enterprise of the Year, Best

of the Best• Outstanding Leadership Award• Outstanding Innovation Award

45