Thai Oil Public Co. Ltd. · SET:TOP
Thai Oil Public — Investor Presentation (July 2015)
87 slides from Thai Oil Public's investor presentation, Jul 23, 2015
Slide 1: Presentation to Investors July 2015
Thai Oil Public Company Limited Presentation to Investors July2015
Slide 2: Disclaimer
-2- Disclaimer The information contained in this presentation is intended solely for your personal reference. Please do not circulate this material. If you are not an intended recipient, you must not read, disclose, copy, retain, distribute or take any action in reliance upon it.
Slide 3: Corporate Vision, Mission and Values
-3- Corporate Vision, Mission and Values A LEADING FULLY INTEGRATED REFINING & PETROCHEMICAL VISION COMPANY IN ASIA PACIFIC • To be in top quartile on performance and return on investment • To create a high-performance organization that promotes MISSION teamwork, innovation and trust for sustainabil
Slide 4: Corporate Governance Policy
-4- Corporate Governance Policy Roles and Responsibilities for Corporate Governance Policy Stakeholders The board of directors, management • Truthfully report company’s situation and and all staff shall commit to moral future trends to all stakeholders equally principles, equitable treatment to all
Slide 5: Thaioil Group Sustainable Development
-5- Thaioil Group Sustainable Development Member of DJSI Emerging Markets for 2 consecutive years • Highest Ranked Level in RobecoSAM Gold Class of Global Oil & Gas Companies • No.1 in ENERGY industry around the WORLD (Industry Group Leader) • No.1 in Oil & Gas Producers Worldwide (Industry Leader)
Slide 6: Presentation Agenda
-6- Presentation Agenda TOP GROUP BUSINESS OVERVIEW KEY FINANCIAL HIGHLIGHTS STRATEGIC INVESTMENT PLANS MARKET OUTLOOK LINEAR ALKYL BENZENE (LAB) INTRODUCTION APPENDIX
Slide 7: TOP Group Business Overview
-7- TOP Group Business Overview
Slide 8: Strategic Relationship and Operational Integration with PTT
-8- Strategic Relationship and Operational Integration with PTT Thai Oil’s strong shareholder base 5.5% • Benefits from PTT’s dual 20.3% role as our major shareholder and key 49.1% business partner • All transactions take place at arm’s length 25.1% and in adherence with strong corporate PTT 49.1% g
Slide 9: TOP Group Synergy & Strategic Role in PTT Group Value Chain
-9- TOP Group Synergy & Strategic Role in PTT Group Value Chain Upstream Intermediate Downstream Solvent Pentane Diversifying to a broad Hexane range of downstream Toluene SOLVENTS The majority of Mixed-Xylene products to enjoy higher refined petroleum profit margins and Paraxylene products are sold
Slide 10: Key Milestones: 54 Years, A Long Track Record of Success
-10- Key Milestones: 54 Years, A Long Track Record of Success 1961 – 1997 2004 – 2011 Today Capacity expansion and initial stage of Listing, expansion and A leading integrated refining and business diversification diversification petrochemical group in Asia Pacific 1961 1970 2004 • 275 kbd refinery
Slide 11: Thai Oil Group Business Structure
-11- Thai Oil Group Business Structure 100.0% 100.0% 74.0% PTT 26.0% 100.0% 100.0% Thai Paraxylene Thai Lube Base Thaioil Power Thaioil Marine Thaioil Ethanol Thaioil (TOP) (TPX) (TLB) (TP) (TM) (TET) Aromatics Capacity: Lube Base Oil • 5 Oil & Chemical Tankers Mitr Phol 35.0% Padaeng Sells Electric
Slide 12: Process Linkage: Beauty of Integration
-12- Process Linkage: Beauty of Integration PROCESS FLOWCHART Thai Paraxylene ADIP FUELGAS Thai Oil ISOM LPG 20,000 MX HDT-1 MX 40,000 HDT-2 HDT-3 CCR-1 ULG95 85,000 CCR-2 CDU-1 50,000 ULG91 45,000 KMT-1 CDU-2 JET KMT-2 50,000 CDU-3 165,000 KEROSENE HVU-1 Thai Lube Base HVU-2 HVU-3 FCCU HDS-2 10,400
Slide 13: One of Region's Leading Refineries
-13- One of Region’s Leading Refineries Total Thailand crude refining capacity 1,241 kbd Q1/15 Market shares for refined petroleum product3 Thai Oil 22% Share Nameplate Capacity 30% Fang (3 kbpd) market shares Thai Oil (275 kbpd) PTT’s Principal Refiner BCP2 (120 kbpd) Esso (177 kbpd) Nelson Index -
Slide 14: Strategic Location with Competitive Advantages in Access to Key Markets
-14- Strategic Location with Competitive Advantages in Access to Key Markets Close proximity to the key domestic markets Access to Indochina markets through deep water ports Our strategic location provide us with LAOS 1. Close proximity with the key domestic markets and VIETNAM Indochina Bangkok Sri
Slide 15: Optimized & Flexible Operations…Superior Performance
-15- Optimized & Flexible Operations…Superior Performance Crude Assays based on Sources of Product Spread over Domestic demand for TOP configuration Crude output Dubai (US$/bbl) petroleum products* 1 % S = 1.54 % S = 2.13 % S = 0.79 Others ** 3% 4% -14.6 LPG API = 31.2 API = 30.4 API = 39.7 14% 11%
Slide 16: Strong Domestic Sales despite Flatten Local Demand
-16- Strong Domestic Sales despite Flatten Local Demand Domestic Oil Demand / Domestic Refinery Intake Domestic Oil Demand *including TOP intake (Excluding TOP = 70%) Utilization = 106% KBD KBD Q1/14 Q1/15 0.9% * 1,200 93% 89% 92% 92% 92% 95% 92% 87% 100% 1,000 86% 85% 85% 1,000 80% 800 800 60% 600
Slide 17: Competitive Performance Benchmarking
-17- Competitive Performance Benchmarking Solomon (Bi-Annually) Shell Global Solutions International (SGSi) 2012 2010 Operational Performance Review Hydrocarbon Management Review Operational Troubleshooting Staff Competency Development Knowledge Management & Research
Slide 18: TOP Group Key Highlights
-18- TOP Group Key Highlights Thailand’s largest and Diversified earnings 2 one of the region’s through integration 1 most advanced and with, and significant competitive refineries contribution from, our subsidiaries Strategic relationship Strategic location with Industry with high 3 4 5 and operati
Slide 19: Key Financial Highlights
-19- Key Financial Highlights
Slide 20: Q1/15 Key Industry Highlights
-20- Q1/15 Key Industry Highlights Refinery Implication $5/bbl drop in Dubai crude price from ongoing 1.5 $/bbl inventory loss oversupply in crude oil market (from huge stock loss 11.2 $/bbl in Q4/14 ) Strong demand during winter season plus benefit from Improved market GRM low oil price (i.e. l
Slide 21: Q1/15 Key Operation and Financial Highlights
-21- Q1/15 Key Operation and Financial Highlights Operations / Financial Highlights TOP Group Net Profit Maximized refinery run at 106% while Unit : million THB Net Operating Profit before tax Stock G/(L) optimized Aromatics unit at 66% & Lube at Reversal of NRV/(NRV) Others i.e. FX G/(L), Hedging
Slide 22: Integrated Margin & Competitive Cash Cost
-22- Integrated Margin & Competitive Cash Cost Gross Refining Margin Refinery’s Cash Cost (Unit: US$/bbl) (Unit: US$/bbl) Marketing GRM Accounting GRM (Marketing GRM + Stock G/L) Operating Cost Interest Expense (Net) 8.8 *Including 6.4 5.7 7.3 MTA cost 6.2 5.3 0.14 $/bbl 4.1 4.6 4.5 4.3 5.1 3.4 3.3
Slide 23: Financial Performance
Financial -23- Financial Performance Sales Revenue EBITDA Unit: Million THB Unit: Million THB 447,432 EBITDA (excl stk G/L & NRV) EBITDA (incl stk G/L & NRV) 446,241 399,125 414,575 390,090 318,391 28,760 284,123 23,868 22,808 22,337 22,897 20,350 21,393 17,381 19,713 19,541 14,585 12,846 71,366 7,9
Slide 24: Strong Financial Performance
Financial -24- Strong Financial Performance Statements of Financial Position Consolidated Long-Term Debt as at 31 Mar 15 1) (Unit: million THB) Total Long-Term Debt Net Debt 193,607 200,044 80,193 million THB 27,744 million THB Cash & ST Trade Payable (US$ 2,452 million) (US$ 848 million) investment
Slide 25: Dividend Payment
Financial -25- Dividend Payment Dividend Policy : Not less than 25% of consolidated net profit after deducting reserves, subject to cash flow and investment plan THB/Share n.a. n.a. 9.19 9.40 7.82 8.13 7.28 EPS Total dividend 5.91 6.04 Interim dividend 5.09 Dividend payout 48% 4.41 45% 4.50 43% 45%
Slide 26: Strategic Investment Plans
-26- Strategic Investment Plans
Slide 27: Broadening Growth, Capturing Step Out, Pursuing Sustainability
Project Update -27- Broadening Growth, Capturing Step Out ,Pursuing Sustainability Operational Excellence Growth (Core & Step Out) Core Business Quick win Value Chain Enhancement Adjacent Logistics New Business AEC countries Geography
Slide 28: Strategic Investment Plan: Updated CAPEX plan
Updated CAPEX plan -28- Strategic Investment Plan CAPEX Plan (Unit US$ million) Remaining capital investment Our CAPEX Projects COD Total Project investments will Cost 2014 2015 2016 2017 2018 cover improvements Refinery upgrading 2014 137 32 in plants reliability, efficiency & Reliability, efficien
Slide 29: Margin Contribution from completed projects in Q1/15
Project Update -29- Margin Contribution from completed projects in Q1/15 Project Project Details Actual Benefit Realization HVU Revamp: • Modify HVU-2 • Phase I: • Capable to produce more diesel/jet at Benefit Realization Benefit PSA-3 the expense of fuel oil (1-2%) ($/bbl) • Phase II: • Capable to
Slide 30: Key Project Progress Update: LAB
Project Update -30- Key Project Progress Update : LAB Project Detail Progress • TPX JV with Mitsui (75% : 25%) 96%* • Upgrade existing Benzene and Kerosene into higher Linear Alkyl valued product; LAB which is an intermediate feedstock Benzene in production of surfactant (detergent) (LAB) • Capacity
Slide 31: Key Project Progress Update: 2 SPPs
Project Update -31- Key Project Progress Update : 2 SPPs Project Detail Progress • Low risk power business enhance income stability 88%* • Support reliability of electricity & steam supply for TOP Group TOP SPP • Develop 2 new SPP power plants; (2 blocks of SPP) • Total power capacity 239 MW (~20% u
Slide 32: Progress on Myanmar Project
Project Update -32- Progress on Myanmar Project Study Project Detail Progress • On mid-July, 2014, Myanmar Petrochemical PTT/TOP had Enterprise (MPE) issued Invitation to Tender, submitted proposal on specifying the proposal deadline by mid-Oct, Oct 13, 2014 Refinery 2014 Upgrading Project in • Pl
Slide 33: Q1/15 & 2H-15 Market Outlook
-33- Q1/15 & 2H-15 MARKET OUTLOOK • Crude Oil • Petroleum Products • Aromatics • Base Oil & Bitumen
Slide 34: Crude Oil
-34- CRUDE OIL
Slide 35: 2015 Global GDP Growth by IMF
Macroeconomics & Crude Prices -35- 2015 Global GDP Growth by IMF IMF Maintained the Global GDP growth at 3.5% Growth 2014 2015 2016 (%YoY) China US EU World 15% Apr-15(1) Jan-14(2) Apr-15(1) Jan-15(2) Apr-15(1) USA 2.4% 3.6% 3.1% 3.3% 3.1% 10% EU 0.9% 1.2% 1.5% 1.4% 1.6% China 7.4% 7.1% 6.8 % 6.3% 6
Slide 36: Non-OPEC Demand Growth Projection
Macroeconomics & Crude Prices -36- Non-OPEC Demand Growth Projection IEA forecasted 2015’s global oil demand to increase by 1.1 MBD mainly from Asia Demand Growth IEA (MBD) (MBD) 2013 91.9 1.3 The global oil demand will grow by 1.1 MBD in 2015, 2014 92.5 0.7 supported by improved global economic con
Slide 37: Non-OPEC Supply Growth Projection
Macroeconomics & Crude Prices -37- Non-OPEC Supply Growth Projection IEA revised down 2015’s Non-OPEC oil supply growth by 350 KBD to 0.6 MBD. Remarks: Non-OPEC Supply excl. Biofuels/Processing G/(L) Non OPEC Growth IEA Supply (MBD) (MBD) 2013 50.5 1.2 IEA forecasted 2015’s oil supply from non-OPEC
Slide 38: Crude Prices Rebound in 2H-15
Refinery -38- Crude Prices Rebound in 2H-15 as the Market Strives to Find the Demand-Supply Balance Dubai Price Movement $/BBL Shale Oil Boom 110.0 Dramatic Declines in Greek Debt Default 100.0 Oil Rigs & CAPEX Cuts China’s Stock 90.0 Market Bubble 80.0 Conflict in Yemen 70.0 60.0 OPEC’s Meeting: No
Slide 39: Decelerated Non-OPEC Oil Supply Growth
Refinery -39- Decelerated Non-OPEC Oil Supply Growth A U.S. Oil Rig Count Movement B Slowing Shale Production Growth $/BBL No. of Rig WTI vs US Rig Count KBD Forecast 120 2000 1250 100 1500 750 2015 2016 80 1000 250 60 500 -250 -750 40 0 Jul-14 Nov-14 Mar-15 Jul-15 Actual WTI Future for next12 mth U
Slide 40: Global Economic Chaos and Geopolitical Risk Remain in Attention
Refinery -40- Global Economic Chaos and Geopolitical Risk Remain in Attention A Greece’s Debt Crisis B Chinese’s Stock Market Crash Enforce Index (Pt.) stricter RMB/Unit Rates cut regulation 30 JUN 5 JULY 20 JULY ? 6000 800 RRR cut by by 0.25 pt Bailout Expires Greek Referendum ECB Bond GREXIT 1.0 p
Slide 41: Higher Oil Demand Bolstered by Improved Economy
Refinery -41- Higher Oil Demand Bolstered by Improved Economy A World Oil Balance B Global Crude Oil Balance MBD MBD Crude oil surplus 98 Non-OPEC supply 3.0 narrows down growth slows down 96 2.0 94 1.0 92 Recovering oil demand 90 0.0 1Q14 3Q14 1Q15 3Q15 1Q14 3Q14 1Q15 3Q15 Demand Supply Sources: IE
Slide 42: Petroleum Products
& ~ Group PETROLEUM PRODUCTS -42-
Slide 43: Healthy Refinery Margins in 2015
Refinery -43- Healthy Refinery Margins in 2015 Singapore Cracking GRM ($/BBL) Winter Chinese New Year demand Ramadan Fasting Season Strong Gasoline Restocking Margin Q1/14: $6.3/BBL Q1/15: $8.6/BBL Ramadan Q2/14: $5.8/BBL Q4/14: $6.2/BBL Q3/14: $4.8/BBL Fasting Season Jan-14 Apr-14 Jul-14 Oct-14 Jan
Slide 44: Refinery Outlook
Refinery -44- Refinery Outlook Remarkable Gasoline Demand Boosted by Low Oil Prices KBD AP Gasoline Demand KBD US Gasoline Demand 7000 10000 2015Y : 304 KBD 2015Y : 145 KBD 6500 2014Y : 233 KBD 9500 2014Y : 80 KBD 6000 9000 5500 Upbeat Chinese and 8500 Low pump prices Indian demand bolster demand 50
Slide 45: Delayed Indian Refinery Expansion
Refinery -45- Delayed Indian Refinery Expansion Addition CDU Addition VS Additional Demand – AP & ME Nameplate (start-up Country Company (KBD) AP Additional Demand ME Additional Demand period) ME Addition China Q1-15 UAE 417 Ruwais Australia Japan Q2-15 China 100 Local Rizhao Lanqiao India Vietnam (
Slide 46: Thailand Petroleum Demand Growth
Thailand Oil Demand -46- Recovered Thailand’s Oil Demand in 2015 Thailand Petroleum Demand Growth Year on Year FY2013 FY2014 5M-2014B 5M-2015C Mogas A +6.7% +3.8% +0.4% +13.7% Jet/Kero +9.5% -1.0% +2.5% +6.5% Diesel A +1.9% +0.9% +0.0% +1.4% Fuel Oil -8.4% -3.9% -3.0% -6.0% Total +3.4% +1.0% +0.2% +
Slide 47: Aromatics
& ~ Group AROMATICS -47-
Slide 48: Stable Aromatics Market in 2H-15
Aromatics -48- Stable Aromatics Market in 2H-15 Aromatics Market PX-ULG95 ($/TON) BZ-ULG95 ($/TON) 371 326 280 273 269 286 252 255 246 254 221 207 101 116 Y2014 Y2015 3Q14 4Q14 2Q15 1Q14 2Q14 1Q15 2H15 1Q14 2Q14 4Q14 1Q15 Y2014 3Q14 2Q15 2H15 Y2015 Actual Forecast Actual Forecast Key Highlights ($/T
Slide 49: Stable PX market on Improving PTA Demand
Aromatics -49- Stable PX market on Improving PTA Demand PX Plant Turnaround Supports PX price Firm PTA P2F Supports PX Demand KTA $/TON PTA P2F 1400 100 91 1200 1,224 1000 80 800 70 789 62 62 65 600 61 626 60 400 507 200 0 40 1Q15 2Q15 3Q15 4Q15 2Q15 1Q14 2Q14 3Q14 4Q14 1Q15 AP PX Capacity Turnaroun
Slide 50: Stable BZ Market on Soft Chinese Demand amid Lower Supply
Aromatics -50- Stable BZ Market on Soft Chinese Demand amid Lower Supply BZ Plant Turnaround Supports BZ Price Recovering SM P2F Buoys BZ Demand KTA $/TON SM P2F 1000 300 278 900 800 886 250 700 200 163 600 660 150 500 150 131 400 505 87 300 457 100 69 200 50 100 0 0 3Q14 4Q14 1Q15 2Q15 1Q14 2Q14 1Q
Slide 51: PX and BZ Demand/Supply Outlook
Aromatics -51- PX and BZ Demand/Supply Outlook A AP/ME PX Capacity* and Demand B New Polyester Plants Support PX Market Forecast Forecast MTA MTA 2010-2014 2015 2016-2019 60 Dem: 7.2% Dem: 5.6% Dem: 5.9% 8 Cap: 8.1% Cap: 9.3% Cap: 5.9% 7 50 6 40 5 41 30 37 4 31 33 3 20 2 10 1 0 0 2010 2012 2014 2016
Slide 52: Base Oil & Bitumen
& ~ Group BASE OIL & BITUMEN -52-
Slide 53: Soft TLB Margin in 2H-15: Base Oil Market
Base Oil & Bitumen -53- Soft TLB Margin in 2H-15 Base Oil Market Base Oil Benchmark Spread ($/TON) $/TON Gr.II-Gr.I Price Difference ($/TON) 80 495 486 501 499 492 60 399 369 40 20 0 Y2014 1Q14 Y2015 2Q14 4Q14 1Q15 2Q15 3Q14 2H15 -20 2012 2013 2014 2015 YTD2015 500SN-HSFO (Actual) Forecast 150N-150S
Slide 54: Soft TLB Margin in 2H-15: Bitumen Market
Base Oil & Bitumen -54- Soft TLB Margin in 2H-15 Bitumen Market Bitumen Benchmark Spread ($/TON) Domestic Bitumen Demand (KTON/M) Kton/m Average Demand Growth: 8% p.a. 85 100 23 80 20 60 40 -32 -66 20 -69 -77 0 1Q14 3Q14 4Q14 2Q14 1Q15 2Q15 2H15 Y2014 Y2015 2011 2012 2013 2014 2015 (1) (1)averaged f
Slide 55: Global expectation of Capacity and Demand
Base Oil & Bitumen -55- Global expectation of Capacity and Demand Million TON Global Gr.I Demand and Nameplate Capacity 35 29 28 27 30 27 26 26 26 25 25 24 25 20 19 19 20 18 16 15 14 Demand 15 13 13 12 Supply 10 5 0 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Million TON Global Base Oil Demand
Slide 56: Conclusion
& ~ Group CONCLUSION -56-
Slide 57: 2H-15 Market Outlook Conclusion
-57- 2H-15 Market Outlook Conclusion Refinery • Crude prices recover, buoyed by slowing U.S. oil supply growth • Softer product spreads from new refinery startups Aromatics • Stable Aromatics spread on recovering downstream demand Base Oil • Soft Base Oil and Bitumen spreads during rainy season
Slide 58: Linear Alkyl Benzene (LAB) Introduction
-58- LINEAR ALKYL BENZENE (LAB) INTRODUCTION LAB Innovation for EXcellence
Slide 59: Linear Alkyl Benzene (LAB)
LAB -59- Linear Alkyl Benzene (LAB) Kerosene Customers Feedstock LAS Domestic LAB Benzene Export Feedstock Products Kerosene By Products Return Detergent Power Detergent Liquid Naphtha Fuel oil *LAS = Linear Alkyl Benzene Sulfonate Concentrated Liquid Tablet Detergent Dish Washing
Slide 60: SE Asia as a Net Importer: LAB Balance
LAB -60- SE Asia as a Net Importer SE Asia LAB Balance KTA 100 0 -100 -200 -300 -400 -500 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2030 Indonesia Thailand Malaysia Philippines Vietnam Other s Source: MITSUI and TOP Estimation
Slide 61: Benzene Value Added: Product Spread
LAB -61- Benzene Value Added Product Spread ($/Ton) Bearish Crude market 800 and low BZ demand $/Ton BZ price recovery 750 700 650 Lower LAB demand during rainy season in Asia 600 Average 561 $/Ton 550 500 Higher US BZ import from Asia High BZ price from Dragon 450 pacific loss supply 400 Jan-13 Apr
Slide 62: LABIX Competitive Advantages
LAB -62- LABIX Competitive Advantages Strong Local and Regional Demand First Integrated Plant in SEA LABIX 100 KTA (Integrated plant) c PT Unggul Indah Philippines Cahaya (UIC) Thailand Indonesia (Non-integrated plant) Vietnam Strong Strategic Partner Malaysia Mitsui & Co. Indonesia - World leading
Slide 63: Appendix
-63- APPENDIX • Q1/15 Performance analysis • World GRM / Inventories • Thailand petroleum demand by products • Implication of TFRS 10 adoption
Slide 64: Q1/15 Performance Analysis
-64- Q1/15 PERFORMANCE ANALYSIS
Slide 65: Thai Oil Refinery: Superior Performance
-65- Thai Oil Refinery : Superior Performance… Better Refinery Utilization Rate & Domestic Sales than industry average TOP’s Refinery Utilization vs Industry * TOP’s Domestic Sale vs Industry * TOP Refinery Overall Industry Domestic Sales Export Sales (Thailand) 108% 106% 105% 19% 21% 19% 12% 18% 28
Slide 66: Q1/15: Strong Demand…Decent Refining Margins
Refining -66- Q1/15: Strong Demand…Decent Refining Margins Dubai Crude Price & Key Petroleum Product Spreads Refinery Utilization Q1/15 Q4/14 Q1/14 2014 2015 2014 106% 108% 105% $/bbl Q1 Q2 Q3 Q4 Q1 Q2 1H Q3TD* FY14 DUBAI (DB) 104.4 106.1 101.5 74.4 51.9 61.3 56.6 58.69 96.6 ULG95 - DB 14.6 16.1 13.
Slide 67: Q1/15: Squeezed BZ...Pressured Aromatics Margin
Aromatics -67- Q1/15: Squeezed BZ...Pressured Aromatics Margin Aromatics Spreads and Margins Aromatics Production 2014 2015 2014 Q1/15 Q4/14 Q1/14 $/ton Q1 Q2 Q3 Q4 Q1 Q2 1H Q3TD ** FY14 66% 89% 95% PX*-ULG95 273 220 371 252 255 246 251 234 279 Paraxylene (PX) BZ-ULG95 285 254 327 207 98 116 107 124
Slide 68: Q1/15: Restocking Demand…Improved Lube Margins
Lube Base Oil -68- Q1/15: Restocking Demand…Improved Lube Margins Base Oil & Bitumen Spreads & Margins Base oil Production 2014 2015 2014 Q1/15 Q4/14 Q1/14 $/ton Q1 Q2 Q3 Q4 Q1 Q2 1H Q3TD * FY14 79% 80% 100% 500SN-HSFO 486 501 500 493 369 399 382 474 495 BITUMEN-HSFO (69) (77) (66) 85 23 20 22 47 (3
Slide 69: Beauty of Integration…Sustainable GIM
Performance Breakdown -69- Beauty of Integration…Sustainable GIM (Unit: US$/bbl) 19.2 8.2 4.8 8.7 6.1 2.9 1.4 Product to Feed Q1/14 Q2 Q3 Q4 Q1/15 FY/13 FY/14 8.2 8.8 5.1 4.4 4.6 4.3 5.7 Crude Marketing GRM (excluded stock gain / loss) Q1/14 Q2 Q3 Q4 Q1/15 FY/13 FY/14 20.5 17.8 16.2 16.3 21.9 17.1 1
Slide 70: Q1/15: Performance Breakdown
Performance Breakdown -70- Q1/15: Performance Breakdown Utilization/Production (%) & Net Profit (million THB) Key Points • TOP: max run to capture decent margins ***74% • TPX: optimized run to support holding refinery due to lower P2F • TLB: improve commercial condition due to higher demand ahead of
Slide 71: Consolidated Financial Performance
Financial -71- Consolidated Financial Performance (million THB) Q1/15 Q4/14R QoQ+/(-) Q1/14R YoY+/(-) Sales Revenue 71,366 88,545 (17,179) 112,228 (40,862) Hedging Gain 76 328 (252) 602 (526) EBITDA 6,209 (5,373) 11,582 4,102 2,107 EBITDA excl. Stk G/(L) & Reversal 5,210 6,879 (1,669) 5,535 (324) of
Slide 72: Q1/15 Consolidated Cash Flow
Financial -72- Q1/15 Consolidated Cash Flow (Unit: Million THB) (Unit: Million THB) Operating Cash Flow Investments Q1/15 Q1/14R Q1/15 Q1/14R Operating Cash Flow 9,413 9,318 Investments (7,746) 4,196 Net income & non-cash adj. 4,232 5,192 + ST investments (5,128) 9,000 CAPEX (PP&E) & other (2,618) (
Slide 73: World GRM / Inventory; Thailand petroleum demand by products
-73- • World GRM / Inventory • Thailand petroleum demand by products
Slide 74: Asian Margin Vs. US-EU margin
World GRM -74- Asian Margin Vs. US-EU margin 93.8% 60.4% 68.3% Total Capacity: 17.0 MBD Total Capacity: 4.9 MBD Total Capacity: 17.5 MBD Source: EIA, Norwegian Energy, Thai Oil
Slide 75: Crude Inventory
Inventories -75- Crude Inventory Source: Norwegian Energy
Slide 76: Global Distillate Inventory
Inventories -76- Global Distillate Inventory Source: Norwegian Energy
Slide 77: Fuel Oil Inventory
Inventories -77- Fuel Oil Inventory Source: Norwegian Energy
Slide 78: China's Product Export
China Export -78- China’s Product Export Source: Norwegian Energy
Slide 79: Domestic LPG Demand
-79- Domestic LPG Demand Thailand LPG Demand LPG Demand Highlight • In first 4 months of 2015, LPG demand fell steeply by 8.1%YoY on account of lower usages in cooking, transportation and petrochemical sectors. Most of the decline came from cooking sector that faced higher retail prices and slowly-t
Slide 80: Domestic Gasoline Demand
-80- Domestic Gasoline Demand Thailand Gasoline Demand GASOLINE Demand Highlight • In first 4 months of 2015, Mogas demand jumped sharply by 13.9% from the same period last year to an average 25.71 mml/day. This was mainly due to a significant drop in retail prices and low-based last year which had
Slide 81: Domestic Jet Demand
-81- Domestic Jet Demand Thailand JET-A1 Demand JET Demand Highlight • In first 4 months of 2015, Jet consumption increased significantly by 5.0% over the corresponding period last year mainly owning to reviving tourism sector. The expansion in tourism sector was a result of the return of Chinese an
Slide 82: Domestic Gasoil and NGV Demand
-82- Domestic Gasoil and NGV Demand Thailand Gasoil Demand Diesel Demand Highlight • In first 4 months of 2015, Diesel demand rose gradually by 2.1% YoY as relatively low retail prices boosted the consumption amidst strong agricultural demand from the peaking of harvesting season. Nevertheless, dema
Slide 83: Domestic Fuel Oil Demand
-83- Domestic Fuel Oil Demand Thailand Fuel Oil Demand FUEL OIL Demand Highlight • In first 4 months of 2015, Fuel Oil consumption dropped significantly by 6.2% from a year earlier as a result of lower amount of maintenance day of natural gas fields from Myanmar comparing to the last year. Consequen
Slide 84: Effect on Changes in Accounting Policies: TFRS 10
Implication of TFRS 10 adoption -84- Effect on Changes in Accounting Policies TFRS 10 Consolidated Financial Statements
Slide 85: Changes in Accounting Policy
Implication of TFRS 10 adoption -85- Changes in Accounting Policy 1 Jan 2015 To consider the previous acquisition of TPX, TLB and GPSC to be business combinations under common control, at YE 2004 9 Jan 2013 YE 2014 the time of business combinations, to be recorded by equity method. TFRS 10 become ef
Slide 86: Effect on Changes in TFRS 10
Implication of TFRS 10 adoption -86- Effect on Changes in TFRS 10 งบแสดงฐานะการเงิน 31 Dec 2014 หน่ 31วย : ล้2013 Dec านบาท Restated Transaction Dr. Cr. Dr. Cr. Statement of Financial Position Investment in associates (GPSC) 684 798 Property, plant and equipment (TPX/TLB) 121 141 Retained earnings 3
Slide 87: Thank You
-87- Thank You Any queries, please contact: at email: [email protected] Tel: 662-797-2999 / 662-797-2961 Fax: 662-797-2976
Thai Oil Public Company — Investor Presentation (July 2015) on 6ix