Beruflich Dokumente
Kultur Dokumente
December 2008
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OI L & G A S
December 2008
Contents
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PROFILE OF THE INDIAN
OIL & GAS SECTOR
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PRO F I L E OF T H E I N D I A N O I L & GAS SECTOR
OIL & GAS • December 2008
• O
il struck at Makum near Margherita
in Assam in 1867
• First commercial oil discovery in Digboi in 1889
• S ystematic E&P in 1899 after Assam Oil
Company formed
• 1 947 India’s domestic oil production
just 250,000 tonnes per annum
• 1954 IPR - petroleum to be core sector
• 1955 – ONGC set up
• 1 958 - First Gas & Oil pool discovered in Jwalamukhi
(Punjab) and Cambay. Oil India Limited (OIL)
was set up
• D
iscovery of giant Bombay High field in 1974
– Western offshore highest producer
• 1 991 – Liberalized petroleum exploitation
and exploration policy
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PRO F I L E OF T H E I N D I A N O I L & GAS SECTOR
OIL & GAS • December 2008
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PRO F I L E OF T H E I N D I A N O I L & GAS SECTOR
OIL & GAS • December 2008
Institutional arrangements
Bharat Petroleum
(Refining & Marketing) Petroleum India International
Gail
Gas Transport & Petrochemicals
Reliance India Limited
(Refining & Marketing)
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PRO F I L E OF T H E I N D I A N O I L & GAS SECTOR
OIL & GAS • December 2008
up-gradation) 13%
Established reserves
n Onland 1.39 M.Km2 n Shallow Offshore 0.4 M.Km2
n Deep Water 1.35 M.Km2
• 65 Billion Barrels (as of April 1,2008)
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PRO F I L E OF T H E I N D I A N O I L & GAS SECTOR
OIL & GAS • December 2008
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PRO F I L E OF T H E I N D I A N O I L & GAS SECTOR
OIL & GAS • December 2008
Just over 60% of potential in oil sector has been explored so far
20% 21%
15%
44%
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PRO F I L E OF T H E I N D I A N O I L & GAS SECTOR
OIL & GAS • December 2008
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PRO F I L E OF T H E I N D I A N O I L & GAS SECTOR
OIL & GAS • December 2008
• T
he total number of significant discoveries made Exploration status by Basin and E&P operators
during the past five years now stands at 97. The most 29
2007
noteworthy of these discoveries are located in the 14
12
2000
7
2
1990
3
0 5 10 15 20 25 30 35
n Prolific producing Basins n No of E&P Operators
2000-04 251
1996-2000 101
1992-96 101
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PRO F I L E OF T H E I N D I A N O I L & GAS SECTOR
OIL & GAS • December 2008
• T
otal production of crude oil during 2007-08 Annual crude oil production (MMT)
is 34.12 MMT 2000-01 25.07 3.29 4.08
• C
ontribution from Pvt./JV small, medium and 2003-04 26.06 3.00 4.31
2004-05 26.49 3.20 4.30
discovered fields during the year is 5.08MMT of oil 2005-06 24.40 3.23 4.55
which accounts for about 15 per cent of the national 2006-07 26.05 3.11 4.83
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PRO F I L E OF T H E I N D I A N O I L & GAS SECTOR
OIL & GAS • December 2008
• T
otal production of natural gas in 2007-08 is Annual gas production (BCM)
32.3 BCM 2000-01 24.0 1.9 3.6
• C
ontribution from Pvt./JV small, medium and 2003-04 23.6 1.9 6.5
2004-05 23.0 2.0 6.8
discovered fields during the year is 7.727 BCM of gas, 2005-06 22.6 2.3 7.4
which accounts for about 24 per cent of the national 2006-07 22.4 2.3 7.0
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PRO F I L E OF T H E I N D I A N O I L & GAS SECTOR
OIL & GAS • December 2008
• A
nnual crude oil production ratio of Annual crude production in MMT
off-to-onshore operations has largely 2006-07
24.3
20.14
2006-07
11.89
2005-06 21.57
11.47
21.92
2004-05
11.45
2003-04 22.4
11.58
2000-01 20.76
11.43
0 5 10 15 20 25
n Onshore n Offshore
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PRO F I L E OF T H E I N D I A N O I L & GAS SECTOR
OIL & GAS • December 2008
22.74
2006-07
9.46
2005-06 22.8
8.96
22.98
2004-05
8.98
22.67
2003-04
8.72
2000-01 21.86
7.86
n Onshore n Offshore
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PRO F I L E OF T H E I N D I A N O I L & GAS SECTOR
OIL & GAS • December 2008
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PRO F I L E OF T H E I N D I A N O I L & GAS SECTOR
OIL & GAS • December 2008
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PRO F I L E OF T H E I N D I A N O I L & GAS SECTOR
OIL & GAS • December 2008
• In the liberalised scenario, the GoI has opened the Playerwise details (As on)
refining sector to “Joint Sector” as well as to the ‘000 Tonnes
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PRO F I L E OF T H E I N D I A N O I L & GAS SECTOR
OIL & GAS • December 2008
• India still largely remains dependant upon coal Energy consumption mix in India
and oil 1%
7%
• The growth in demand is projected to catapult
the overall demand to 196 MMT in 2011-12
32%
and 250 MMT in 2024-25
• G
rowing demand-supply gap has led the Indian
government to open up exploration and 51%
9%
9%
production to private participants through
NELP and develop a more holistic strategy
for acquisition of equity oil abroad n Oil n Natural Gas
n Coal n Nuclear Energy
n Hydro electric
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PRO F I L E OF T H E I N D I A N O I L & GAS SECTOR
OIL & GAS • December 2008
• T
he consumption growth has slowed down in Year Consumption
MMTPA
the last few years because of substitution of 1980-81 30.9
naphtha by Liquified Natural Gas 1984-85 38.8
• A
ccording to the estimates by the Integrated 1989-90 54.1
1996-97 79.2
Energy Policy Report, Planning Commission of
2001-02 100.4
India, 2006, the total energy requirement 2002-03 104.1
(including oil, gas, coal, nuclear and hydro energy 2003-04 107.7
sources) in the country by 2032 would be 2004-05 111.6
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PRO F I L E OF T H E I N D I A N O I L & GAS SECTOR
OIL & GAS • December 2008
• O
il comprises about 33 per cent of India’s Year Crude oil MMT
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PRO F I L E OF T H E I N D I A N O I L & GAS SECTOR
OIL & GAS • December 2008
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PRO F I L E OF T H E I N D I A N O I L & GAS SECTOR
OIL & GAS • December 2008
• A
greement on Collaborative Research on drilling
of experimental wells with USA, Canada and
Japan
• Road map for gas hydrates is in place
Ethanol Blended Petrol
• M
arketing of petrol with up to 5 per cent ethanol
blending being undertaken. Percentage of ethanol
in petrol is proposed to be increased to 10 per cent
in future
Bio-Diesel
• G
overnment has already decided to introduce
five per cent blended bio-diesel
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PRO F I L E OF T H E I N D I A N O I L & GAS SECTOR
OIL & GAS • December 2008
• P
etroleum products marketing largely done by
four PSUs: IOC, HP, BPCL, and IBP
• E xtensive retail network – over 16000 outlets,
6000 kerosene agencies and 5000 LPG
distributorships
• R
equirements of industrial units met through
direct supplies
• National Gas Grid planned
• A
pproximate movement - railways – 40 per cent;
pipelines – 30 per cent; coastal tankers – 12 per cent;
balance by road
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PRO F I L E OF T H E I N D I A N O I L & GAS SECTOR
OIL & GAS • December 2008
• A
bsence of statutory framework in the upstream
industry
• Incidence of cross subsidy due to social obligations
• Domestic reserves/production will not be sufficient
• C
ross-border gas pipelines facing uncertainty, but
attracting interest
• Inability to take international prices
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POLICY & REGULATION
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PO L I C Y & R E G U L AT I O N
OIL & GAS • December 2008
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PO L I C Y & R E G U L AT I O N
OIL & GAS • December 2008
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PO L I C Y & R E G U L AT I O N
OIL & GAS • December 2008
• P
lanning Commission report on Integrated
Energy Policy in August 2006
• O
il and gas are expected to be the key drivers of
energy consumption growth
• F aster exploration of entire domestic
sedimentary basins to augment domestic
availability of oil and gas
• Improvement in oil and gas recovery levels
• Acquisition of equity oil and gas abroad
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PO L I C Y & R E G U L AT I O N
OIL & GAS • December 2008
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PO L I C Y & R E G U L AT I O N
OIL & GAS • December 2008
• N
ew regulatory regime – The petroleum and
Natural Gas Regulatory Board Act, 2006 to
regulate activities in the downstream oil and
gas sector
• B
oard consisting of Chairperson and four
members constituted
• B
ench consisting of Member (Legal) and
another member of the Board to decide on
settlement of disputes between parties
• A
ppeals against order or decision made by
Board will be considered by Appellate Tribunal
established under Electricity Act, 2003
• B
oard and Appellate Tribunal shall exercise
powers and authority of a Civil Court
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PO L I C Y & R E G U L AT I O N
OIL & GAS • December 2008
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PO L I C Y & R E G U L AT I O N
OIL & GAS • December 2008
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PO L I C Y & R E G U L AT I O N
OIL & GAS • December 2008
• T
he Oil Fields (Regulation and Development) Act,
1948 and the Petroleum and Natural Gas Rules,
1959 made by GoI provide regulatory framework
for domestic exploration and production of
Oil & Gas
• A
pril 1993 – Directorate General of
Hydrocarbons (DGH) set up under administrative
control of the MoPNG to promote sound
management of domestic oil and gas resources
keeping in view the environmental safety,
technological and economic aspects of upstream
activities
• S eptember 2006 – GoI designated DGH as the
authority or agency under the 1948 Act to
exercise statutory powers to carry out its functions
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OPPORTUNITIES IN THE INDIAN
OIL & GAS SECTOR
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OP P O RT U N I T I E S I N T H E I N DIAN OIL & GAS SECTOR
OIL & GAS • December 2008
Oil
• Investments under NELP
• Destination India as refining hub
• Increased investment in fuel quality upgradations
• B
uilding strategic petroleum reserve through
public private partnership
• Acquisition of overseas oil assets
• C
ompetition in the downstream (retail and
institutional) segment
Gas
• D
omestic exploration of NG, development of
Liquefied Natural Gas (LNG) markets
• C
oal Bed Methane (CBM), Underground Coal
Gasification, Gas Hydrates
• Development of National Gas Grid
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OP P O RT U N I T I E S I N T H E I N DIAN OIL & GAS SECTOR
OIL & GAS • December 2008
• M
any Indian private sector players Foreign (FII) holdings in select Indian Oil & Gas companies
(RIL, PetroNet, Essar, etc)
31 March 31 March 31 March 31 March 31 March 31 March 31 March
• U
nder seven rounds of NELP, 212 blocks were 2001 2002 2003 2004 2005 2006 2007
Reliance 24.50 25.34 21.41 29.62 30.93 26.70% 23.70%
awarded, of which 56 blocks went to private
ONGC 0.22 0.17 0.46 6.18 8.13 8.5% 8.5%
companies & JVs Gail India 16.61 16.09 14.1 17.72 21.47 23.59% 23.59%
• International players and approx. investments Essar Oil 16.68 22.18 22.19 22.45 70.59 77.93% 74.93%
Indian Oil 0.04 0.02 0.17 1.05 1.92 1.95 1.95
in India: Cairn Energy Plc – over US$ one billion,
BPCL 15.43 14.36 10.29 15.37 14.83 17.5% 17.5%
British Gas - over US$ 800 million, Shell HPCL 12.86 13.43 10.53 20.03 22.06 23.57% 21.57%
- US$ 650 million, BP - US$ 444 million
• O
ther global players with India operations
- Total, Exxon Mobil, Gaz De France, and Chevron
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OP P O RT U N I T I E S I N T H E I N DIAN OIL & GAS SECTOR
OIL & GAS • December 2008
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OI L & G A S
December 2008
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