COmparision of bpcl and hoec.

PRESENTATION ON OIL AND GAS INDUSTRY

PRESENTED BY:-Kajal Singh

Introduction about BPCL

• Category- Oil & Gas

• Sector- Energy

• Tagline/Segment- Energising Lives; Pure for Sure

• Year of Incorporation-1952

• Segmentation- Corporates,country,individual looking to fulfill energy needs.

• Target Group- Enterprises looking for energy for production, people for petrol diesel for vehicles and domestic uses

• Positioning- Providing energy to the people

MANAGEMENT of BPCL

Name Designation

S Varadarajan Chairman & Managing Director

P Balasubramanian Director - Finance

Rajesh Mangal Part Time Non Official Director

Gopal Chandra Nanda Part Time Non Official Director

Ramesh Srinivasan Director - Marketing

S Varadarajan Chairman & Managing Director

Name Designation

S P Gathoo Director - Human Resources

P H Kurian Director

Deepak Bhojwani Part Time Non Official Director

Anant Kumar Singh Government Nominee Director

R Ramachandran Additional Director

Regd. Office and Factory/Plant

Address

Bharat Bhavan,,

4 & 6

Currimbhoy

Road,

District Mumbai

State Maharashtra

Pin Code 400001

Tel. No.

022-

22714000,022-

22713000

Fax No. 022-22713874

Email : info@bh

aratpetroleum.in

1. Mumbai Refinery: Mahul2. Lubricant Plant: Wadilube Installation,

Mallet RoadMaharashtra – India

3. Lubricant Plant: Budget –Budget ( West Bangalore-India)

4. Kochi Refinery-Ambalamugal (Kochi, Kerela,India)

5. Lubricant Plant: 35, VaidyanathaMudali Street, TondiarpetChennai (Madras) - 600081Tamil Nadu – India

CSR activities of BPCL

Bharat Petroleum has been one of the first to adopt this approach and our CSR initiatives have been an intrinsic part of our core values. Our approach to social responsibility and our subsequent CSR policy is what has made us an ‘innovative, caring and reliable’ company.

• Education

• Water

• Skill Development

• Health

• Community Development

Major Competitors BPCL

1.IOCL2.Hindustan Petroleum3.Reliance Industries Limited4.ONGC

FUNDAMENTAL ANALYSISOF BPCL

BPCL

BPCL

BPCL

BPCL

BPCL

BPCL

BPCL

BPCL

BPCL

BPCL Current Market price-586.80 on 21st sep’2016

EBITDA OF BPCL

BPCL Revenue

• 2014-2.64 Trillion

• 2015-2.43 Trillion

• 2016-1.89 Trillion

TECHNICAL ANALYSIS

BPCL-24th Aug to 21st Sep

BPCL- 18th April to 19th September 2016

GAIL - 24TH AUG – 21ST SEP 2016

GAIL - 28TH MARCH- 12TH SEP

BPCL-Simple Moving Average

BPCL-Exponential Moving Average

BPCL-Moving Average Convergence Divergence

BPCL-Bollinger Brand Chart

History Of Gail

• 1984 - The Company was incorporated on 16th of August.

• 1995 - GAIL was adjudged the third-best PSU and awarded the prestigious 'Indira Gandhi Rajbhasha Shield'

• 2014 -GAIL declared the top Indian company in the ‘Gas-Processing, Distribution and Marketing’ Sector for the Dun & Bradstreet Corporate Awards 2014 -GAIL adjudged ‘Best Performing Company’

Background of Gail

Regd. Office and Factory/Plant

• Registered Address • 16, Bhikaiji Cama Place,

R. K. Puram,New DelhiDelhi110066

Tel: 011-26182955 011-26172580Fax: 011-26185941Email: [email protected]: http://www.gailonline.comGroup: Public Sector

CSR activity GAIL

• Ensure an increased commitment at all levels in the organization, tooperate its business in an economically, socially & environmentallysustainable manner, while recognizing the interests of all itsstakeholders.

• To directly or indirectly take up programmes that benefit thecommunities in & around its work centers and results, over a period oftime, in enhancing the quality of life & economic well‐being of the localpopulace.

• To generate, through its CSR initiatives, goodwill and pride for GAILamong stakeholders and help reinforce a positive & socially responsibleimage of GAIL as a corporate entity

Management of Gail

Name Designation Name Designation

B C Tripathi Chairman & managing Director M Ravindran Director – Human Resource

Ashuotsh Karnatak Direcotor - Projects Subir Purkayastha Director - Finance

Ashutosh Jindal Nominee Director Anupam Kulshrestha Part Time Non Official Director

Sanjay Tandon Part Time Non Official Director S K Srivastava Part Time Non Official DIirector

Anant Kumar Singh Part Time Govt. Director

Major Competitors OF GAIL

• Cairn India

• Petronet LNG

• Oil India

• Gujarat Gas

• HOEC

GAIL- QUATERLY REVENUE

FUNDAMENTAL ANALYSIS OF GAIL

Share holding Pattern of GAIL

57%

16% 15%

7%

2%

2%

1%

5%

Chart Title

Promoters

ForeignInstitutions

FinancialInstitutions

CentralGovt

GeneralPublic

NBanksMutualFunds

Others

GAIL

Debt Equity Ratio

GAIL

EBITDA

GAIL

TECHNICAL ANALYSIS OF GAIL

GAIL - 24TH AUG – 21ST SEP 2016

GAIL - 28TH MARCH- 12TH SEP

Simple Moving Average

Exponential Moving Average

MACD

Bollinger

Market Size

• With India developing gas-fired power stations, consumption is up more than 160 per cent since 1995.

• Gas consumption is likely to expand at a Compound Annual Growth Rate(CAGR) of 21 per cent during FY08–17.

• India is the fifth-largest Liquefied Natural Gas (LNG) importer after Japan, South Korea, the United Kingdom and Spain and accounts for 5.5 percent of the total global trade.

• The LNG imports had increased by 43.38 per cent year-on-year in May 2016 to 2.08 Billion Cubic Metres (BCM).Domestic LNG demand is expected to grow at a CAGR of 16.89 per cent to 306.54 Million Metric Standard Cubic Meter per Day (MMSCMD) by 2021 from 64 MMSCMD in 2015.

• The country's gas production is expected to touch 90 Billion Cubic Metres (BCM) in 2040 from 35 BCM in 2013. Gas pipeline infrastructure in the country stood at 15,808 km in December 2015.

• State-owned Oil and Natural Gas Corporation (ONGC) dominates the upstream segment (exploration and production), accounting for approximately 68 per cent of the country’s total oil output (FY14).

• Indian Oil Corporation Limited (IOCL) operates 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 nation’s total pipeline network. IOCL is the largest company, operating 10 out of 22 Indian refineries, with a combined capacity of 1.3 MBPD.

INDIAN SCENARIO

• The oil and gas sector is among the six core industries in India and plays a major role in influencing decision making for all the other important sections of the economy.

• In 1997–98, the New Exploration Licensing Policy (NELP) was envisaged to fill the ever-increasing gap between India’s gas demand and supply. A recent report points out that the Indian oil and gas industry is anticipated to be worth US$ 139.8 billion by 2015. India’s economic growth is closely related to energy demand; therefore the need for oil and gas is projected to grow more, thereby making the sector quite conducive for investment.

• The Government of India has adopted several policies to fulfil the increasing demand. The government has allowed 100 per cent Foreign Direct Investment (FDI) in many segments of the sector, including natural gas, petroleum products, and refineries, among others. Today, it attracts both domestic and foreign investment, as attested by the presence of Reliance Industries Ltd (RIL) and Cairn India.

Government Initiatives• The Union Cabinet has approved the National Mineral Exploration Policy (NMEP), which

will pave the way for auction of 100 prospective mineral blocks to attract private sector in exploration, besides involving state-run agencies.

• The government has launched a pilot programme, aimed at introducing compressed natural gas (CNG) as fuel for two-wheelers.

• The Ministry of Petroleum and Natural Gas is seeking to enhance India's crude oil refining capacity through 2040 by setting up a high-level panel, which will work towards aligning India's energy portfolio with changing trends and transition towards cleaner sources of energy generation.

• The Ministry of New and Renewable Energy (MNRE) plans to launch an integrated bio energy mission with an investment of Rs 10,000 crore (US$ 1.48 billion) from FY 2017-18 to FY 2021-22, aimed at enhancing the use of bio-fuels like ethanol and biogas and reducing consumption of fossil fuels.

• The Hydrocarbon Sector Skill Council (HSSC), which was set up by the Government of India under its Skill India initiative, plans to train over 1.9 million people in the oil and gas sector over the next 10 years, to cater to the rising skill needs of the industry.

Global scenario• From 2005 to 2014, oil and gas company stocks collectively

outperformed the market by a factor of 1.3–2.0x.

• Industry revenue for 2015 is estimated at 10 to 20% below that for 2014, with industry profits expected to shrink by 20 to 30%.

Cont..

The industry playbook is expected to include continuations of some or all of the following measures.

• Cutting capital expenditures (capex) spend by 30 to 50%

• Stopping or scaling back share buyback programs and dividends

• Divesting assets to high-grade the portfolio of underperforming operating positions

• Aggressively renegotiating contracts at price points 20 to 30% lower, often to the point of break-even for the OFSE (Oil Field Service and Equipment) supplier

• Going beyond large-scale layoffs—including implementing wage freeze or in some cases, even wage cuts—to reduce labor costs

• It is estimated that overall capital spending by public companies worldwide declined by nearly 20% in 2016 from record 2015 levels, with the E&P sector declining by more than 30%.