MARI PETROLUEM COMPANY LIMITED
CORPORATE PROFILE MARI PETROLEUM COMPANY LIMITED
3RD LARGEST EXPLORATION AND PRODUCTION COMPANY IN PAKISTAN
OIL & GAS EXPLORATION FIELD DEVELOPMENT PRODUCTION AND DISTRIBUTION OF HYDROCARBONS PROVISION OF E&P RELATED SERVICES ON COMMERCIAL BASIS
MARKET SHARE 2019-20 CONTRIBUTION TO NATIONAL ECONOMY
COUNTRY MPCL’S MPCL’S PRODUCT FOOD SECURITY: AROUND 90% UREA PRODUCTION IS OUTPUT OUTPUT SHARE • BASED ON MPCL SUPPLIED GAS • One of the HIGHEST CONTRIBUTERS TO GOVERNMENT GAS (MMCF) 1,317,033 255,387 19.4% EXCHEQUER ON ACCOUNT OF TAXES AND LEVIES • FOREIGN EXCHANGE SAVINGS EQUIVALENT TO PKR OIL & CONDENSATE 28,089,493 589,707 (BBLS) 2.1% 1.2 TRILLION DURING THE LAST 5 YEARS SHAREHOLDERS AND DIRECTORSHIPS
SHAREHOLDERS SHAREHOLDING DIRECTORSHIPS Committees of the Board
Fauji Foundation 40% 6 AUDIT COMMITTEE OGDCL 20% 3 HR & REMUNERATION COMMITTEE GoP 18.39% 3 TECHNICAL COMMITTEE General Public 21.61% 2 INVESTMENT COMMITTEE
Fauji Foundation is amongst the Oil and Gas Development largest business conglomerates in Company Limited is the Pakistan which "Earns To Serve" largest Pakistani oil and gas the interests of ex-servicemen. company, with the It is active in financial services, Government of Pakistan fertilizer, cement, food, power holding 74% stake in the generation, gas exploration, company. It is involved in LPG marketing and distribution, exploring, drilling, refining and financial and security services. selling oil and gas in Pakistan Government of Pakistan GENE0RAL PUBLIC
COMMON COMMON DIRECTORSHIP DIRECTORSHIP / ASSOCIATE / ASSOCIATE
Pakistan 21 State Oil Co COMPANIES (PSO) SENIOR MANAGEMENT TEAM
FAHEEM HAIDER MUHAMMAD ASIF MANAGING TUFAIL AHMED KHOSO GM FINANCE DIRECTOR/CEO GM EXPLORATION
MUHAMMAD IJAZ AQIB ANWAR ASSAD RABBANI GM OPERATIONS GM BDC GM CORP AFFAIRS/CS
SYED SAJID RAZA MANSOOR AKHTAR GM ADMIN & QASIM NAWAZ GM MSD SECURITY A/GM HR
TANWEER AIZAD CONSULTANT RESERVOIR FROM THE LENS OF HISTORY MPCL Major Customers and JV Partners
CUSTOMERS JV PARTNERS Engro Fertilizer Ltd MOL Pakistan Oil & Gas Company B.V. (Hungary) KUFPEC Fauji Fertilizer Company Ltd Mirpur Mathello (FFC III) Spud Energy Pty Limited (Australia) Fatima Fertilizer Company Ltd (FFCL) PPL Europe E&P Ltd. (UK) Pakarab Fertilizer Limited Pakistan Petroleum Ltd Foundation Power Company Daharki Ltd Oil & Gas Development Co. Ltd Government Holdings (Pvt) Ltd WAPDA (Guddu Power Station) Saif Energy Limited Sui Southern Gas Company Ltd (SSGCL) Al-Haj Sui Northern Gas Pipelines Ltd (SNGPL) Zaver Petroleum Company (Pvt) Ltd Attock Refinery Limited Orient Petroleum Inc (OPI) SEHCL PRL/PARCO/NRL KPOGCL STRATEGY MPCL VISION, STRATEGY AND IT’S GROWTH
Shift in global VISION energy Three growth pillars landscape
MPCL envisions becoming an international integrated Optimize core E&P Portfolio exploration and production company by enhancing its professional capacity through highly knowledgeable MPCL’s DRIVERS OF Moves by and talented workforce that builds its petroleum value other E&P proposition STRATEGY reserves by consistently discovering more than what it players Grow the core by expanding produces within Pakistan and abroad; and improving along the gas value chain financial capacity and profitability through efficient operations, while taking environmental safeguards and catering to social welfare needs of the Shifts in communities inhabiting the area of operations. Pakistan’s Complimented by targeted landscape opportunistic investments
A. Strategy and Vision To sustainably maximize value and secure long term growth
Value Chain Footprint Optimize the E$P core Growth the core with directed diversification Asset portfolio Complimented by targeted opportunistic investments B. Growth avenue partnership model & Geographical footprint Robust business plan incorporating risk and sensitive to different C. Business plan scenarios
D. People, Process & Structure Operating Model Organization with the required capabilities to deliver the strategy OPERATIONS HEALTH, SAFETY AND ENVIRONMENT CORPORATE SOCIAL RESPONSIBILITY
HSE MANAGEMENT CSR INITIATIVES • TRANSITION TO ISO 45001 TRCF COMPARISON Priority Areas: Health, Education, Water, Sanitation TRCF (WorldWide) • Successful CERTIFICATION AUDIT for Location: IMS/ISMS International Standards ISO 9001 TRCF (REGION ASIA / AUSTRALASIA) TRCF MPCL TARGETS , All operational areas & Islamabad Capital Territory (Quality Management System) 14001 TRCF MPCL (Environmental Management System), The Company introduced a Community Service Program 0.96 0.99 18001 (Occupational Health Safety 0.92 wherein the management employees work with different Assessment Series) and 27001 (Information social sector organizations for providing service to the people. Security Management System) 0.8 • MPCL WON “OVERALL PLATINUM 0.7 AWARD 2019” FOR OCCUPATIONAL 0.6 SAFETY AD HEALTH 0.45 0.4 0.3
0.29
0.11 0.09
2017-18 2018-19 2019-20 GEOGRAPHICAL PRESENCE / MPCL PORTFOLIO
Peshawar East Block
Kohat Block Ghauri D & PL
Bannu West Block
Wali West Block
Harnai Block
Operated Blocks: 11 Zarghun South Karak Block Ghauri Block D & PL Non-Operated Blocks: 6 Block-28 (Local Block: 6, International Blocks:1) Kohlu Block Ziarat Block Kalchas Block Operated D&PLs: 7 Koonj D & PL
Mari D&PL Non Operated D&PLs: 4 Sukkur Block
Taung Block Hala Block Bela West Block Adam-X, Adam West, Fazl and Bashar D & PLs
Sujjal, Sujawal and Aqeeq D & PLs Sujawal Block
Acquisition of working interest overseas is in progress Shah Bandar Block EXPLORATION ACTIVITIES IN BANNU WEST AND BLOCK 28
OPENING UP OF BANNU WEST AND BLOCK-28 FOR HYDROCARBON EXPLORATION ACTIVITIES
MPCL has achieved a significant milestone by opening up highly prospective Bannu West and Block 28 for exploration activities
These blocks were laying dormant for decades Bannu West due to inability of their operators to work in security sensitive and challenging areas
• Location of 1st Exploratory Well stacked on ground and preparations are in hand to spud the well in Q2 2021 • Seismic acquisition is complete in Bannu West. In Block 28 acquisition is in progress
Exploration drilling is planned in both blocks during 2021 Block 28 MPCL Technical Reserves (AS AT JUNE 30, 2020)
Technical Reserves-Mboe Technical Gas Reserves-Tscf Technical Oil Reserves-Mstb
1,546 564,265 4.787
10.908 4,422 773,899 6.120 1,338,164 Original Recoverable Reserves Original Recoverable Reserves 5,968 Original Recoverable Reserves Cumulative Production Cumulative Production Cumulative Production Balance Recoverable Reserves Balance Recoverable Reserves Balance Recoverable Reserves
PRODUCTION STATISTICS
Gas Production (BSCF) Oil/ Condensate Production Gas Producing Wells (No.) (Barrels) 257 257 253 543,655
159 163 405,055 399,294 135
2017-18 2017-18 2017-18 2018-19 2018-19 2018-19 2019-20 2019-20 2019-20 FINANCIALS FINANCIALS
Gross Sales (PKR Billion) Net Sales (PKR Billion) Net Profit (PKR Billion) 72.01 126.85 30.31 117.54 59.45 100.04 24.33
40.67 15.37
2017-18 2017-18 2017-18 2018-19 2018-19 2018-19 2019-20 2019-20 2019-20
COMPANY’S PERFORMANCE INDICATORS (At June 30, 2020)
13.53(USD/ (%) 2.5(USD/BOE) 282 (Bn PKR) 46 BOE) 227(PKR) OPEX+Otx per Total Assets ROIC Net Sales to EPS BOE Production
(Bn (CAGR % 19.7 70(%) (Times) 2.7 21(years) PKR) 0.64 last 5 years) Exploration Reserve / Economic EBITDA Margin PRODUCTION Success Rate Production Value Added to Sales GROWTH Exploration & Production Assets MARI – Sindh Province
Partners: Field Facts MPCL (100%) Area: 969.27 Sq. KM Discovered in: 1957 Production Started: 1967 Operator: Producing Wells: 146 MPCL Gathering Network: 343 kms Reservoirs: HRL, SM/SUL, PKL, Goru-B Pakistan’s largest remaining gas reserves at a single gas field. Production Uninterrupted gas supply for the last 53 years. 90% urea production in the Country based on Condensate 60 (BPD) Mari Field Gas. Accounts for 95% of MPCL’s hydrocarbon Gas (MMSCFD) 785 production and 89% of the total revenues.
Gas and Condensate Daharki, Sindh Interest 100% SUJAWAL – Sindh Province
Partners: Field Facts: MPCL (100%) Granted to MPCL: June 21, 2006 Area: 2,416.43 sq. kms Producing Wells: 03 Map Operator: Commencement of Production: March 2, 2013 MPCL D&P Leases: 03 (Sujawal, Sujjal, Aqeeq)
Production
Condensate 94 (BPD)
Gas (MMSCFD) 15
Gas and Condensate Sujawal, Thatta and Interest 100% Badin Districts, Sindh SUKKUR – Sindh Province
Partners: Field Facts: MPCL (100%) Granted to MPCL: April 20, 2006 Area: 2,435.40 sq. kms Producing Wells: 01 Operator: Production: Gas: < 1 MMSCFD MPCL D&P Leases: Koonj [Marginal Gas Field]
Production Koonj Gas Field
Gas (MMSCFD) 1
Sukkur, Khairpur, Larkana, Shikarpur, Jacobabad, Gas Kashmore, Ghotki Districts in Interest 100% Sindh TAUNG – Sindh Province
Partners: Block Facts: MPCL (60%) POL (40%) Granted to MPCL: January 31, 2020 Area: 150.67 sq kms − Taung Block was won by MPCL in the 2018 Map Operator: Block Bidding round. MPCL − PCA/EL was singed on January 31, 2020. − Currently, preparations are in-hand to carryout seismic data acquisition in the Production Block Recently Acquired
PCA Signing Ceremony N/A District Jamshoro, in Interest 60% Sindh HALA – Sindh Province
Partners: PPL (65%) Field Facts MPCL (35%) Granted to PPL: March 9, 2004 MPCL Farmed-in: July 2004 Map Area: 276.17 sq. kms Operator: Producing Wells: 04 PPL D&P Leases: 04 (Adam, Adam West, Fazl, Bashar )
Production
Condensate 100 (BPD)
Gas (MMSCFD) 20
Gas and Condensate Sanghar and Matiari Interest 35% Districts, Sindh SHAH BANDAR – Sindh Province
Partners: Field Facts PPL: 63.0% MPCL: 32.0% Granted to PPL: February 21, 2014 GHPL: 2.5% MPCL Farmed-in: November 2016 SEHCL: 2.5% Area: 2,083.41 sq. kms Operator: Producing Wells: 01 (Production from PPL Benari X-1 is expected by April 2021)
Production N/A
N/A Districts Sujawal and Interest 32% Thatta in Sindh ZARGHUN SOUTH D&PL – Balochistan Province
Partners: Block/Field Facts: MPCL (35%) Spud (40%) GHPL (17.5%) Operatorship acquired: 2003 Al-Haj (7.5%) Area: 124.22 sq. kms Operator: Producing Wells: 04 MPCL D&P Leases: 01 (Zarghun South)
ZS gas is dedicated for supply to Quetta City Production
Condensate 5 (BPD)
Gas (MMSCFD) 27
Zarghun South Gas Field
Gas and Condensate Mastung and Harnai Interest 35% Districts, Balochistan ZIARAT BLOCK – Balochistan Province
Partners: MPCL (60%) Block/Field Facts: PPL Europe (40%) Granted to MPCL: January 22, 2003 Area: 1,419.32sq. kms Producing Wells: 01 Operator: MPCL
Bolan East-1 Production
Oil (BBLs) 800
Sibi, Ziarat, Harnai, and Mach (Kachhi Crude Oil Bolan) Districts, Interest 60% Balochistan BLOCK 28 – Balochistan Province
Partners: Block Facts MPCL (95%) OGDCL (5%) Granted to Tullow: January 15, 1991 Area: 5,856.60 sq. kms
Operator: − Pakistan’s largest exploration Block in terms of area. MPCL − Remained stranded for decades due to unfavourable security situation. − MPCL farmed-in in the Block in April 2018 − Production Operatorship acquired in October 2018 − Acquisition of 1,630 line km 2D seismic data is in N/A progress by MSU Beta and Charlie Crews. − Data acquisition 70% complete. Seismic Acquisition – Block 28
Kohlu, Sibi, Loralai, Barkhan, and Bolan N/A Interest 95% Districts, Balochistan KARAK – KPK & Punjab Province
Partners: Field Facts: MPCL: 60% MOL: 40% Granted to MPCL: April 14, 2005 Area: 1,651.74 Sq. Kms Producing Wells: 03 Operator: MPCL − Around 64% area of the Block falls in geographic boundaries of KPK, while remaining 36% falls in Punjab. − All discoveries in the block are on Punjab side. Production − Drilling of exploratory well Surghar X-1 is planned in March 2021. Gas (MMSCFD) 5
Oil & Condensate 1060 (BBLs)
Halini Oil Field
Karak, Mianwali, Kohat, Lakki Oil, Condensate Marwat, and Bannu Districts, Interest 60% and Associated Gas KPK BANNU WEST BLOCK – KPK Province
Partners: Field Facts: MPCL: 55% OGDCL: 35% ZPCPL: 10% Grant to Tullow: April 27, 2005 Area: 1,229.57 sq kms Map Operator: − Bannu West Block remained stranded for MPCL decades due to unfavourable security situation. − MPCL farmed-in in the Block in May 2006 Production − Operatorship acquired in March 2017 N/A − Acquisition of 836 sq.kms 3D data completed by MSU Alpha Crew in March 2020. − Location of 1st exploratory well staked on July 01, 2020 and expected to spud-in during Q2 2021.
Seismic Data Acquisition – Bannu West
Bannu, Laki Marwat, Kurram, Hangu, N/A and North Waziristan Interest 55% Districts, KPK KOHAT BLOCK – KPK Province
Partners: Block Facts: OGDCL (50%) MPCL (33.3%) Granted to OGDCL: December 27, 2005 Saif Energy (16.67%) Farmed in: November 2006 Map Area: 1,107.21 sq. kms Operator: 02* OGDCL Producing Wells: − 4th exploratory well Togh-1 resulted in gas discovery in August 2019. − First gas from Togh-1 commenced on June 30, Production 2020. − 5th exploratory well Togh Bala-1 also resulted Condensate 300 in gas and condensate discovery. Hook-up is (BPD) expected by January 2021. − Currently drilling of 6th exploratory well Sheen Gas (MMSCFD) 20 Dund-1 is in progress. Completion is expected Picture in January 2021
Kohat, Peshawar, Hangu, Orakzai Nowshera Gas and Condensate Districts, KPK Interest 33.3% WALI WEST BLOCK – KPK Province
Partners: MPCL: 100% Block Facts:
Granted to MPCL: November 18, 2019 Area: 1,609.63 sq kms Operator: − Won by MPCL in the 2018 Block Bidding round. MPCL − PCA/EL singed on November 18, 2019.
Production N/A
PCA Signing Ceremony North Waziristan, South Waziristan, Tank, Lakki N/A Marwat, Bannu Interest 100% Districts, KPK GHAURI BLOCK – Punjab Province
Partners: MPCL: 65% Block/Field Facts: PPL: 35% Granted to MPCL: February 16, 2010 Area: 982.36 sq. kms Operator: Producing Wells: 02 MPCL Production: 250-300 BPD D&P Leases: 01 (Ghauri X-1)
Production Ghauri Oil Field
Oil (BPD) 300
Crude Oil Rawalpindi, Jhelum Interest 65% Districts, Punjab MARI SERVICES DIVISION
MARI SERVICES DIVISION HIGHLIGHTS
• Rig Mari-1 has maximum continuous LTI (Loss Time Injury) free days of operation, 3487 Mari Seismic Unit (MSU) days and counting Mari Seismic Processing Centre (MSPC) Mari Drilling Unit(MDU) • MSPC has processed 5,500 line Km 2D, 3,164 Sq Km 3D & 3,600 Sq Km of 3D seismic inversion projects data in the last 5 years.
• MPCL Rigs have drilled 140,382 m. Wells Drilled - 110, Work Overs - 4, all in record time CREWS with deepest well being 5,900 m
• Acquisition of 2D : 891 L.km Alpha • Acquisition of 3D: 2440 Sq.km • Recording System: 508 XT
• Acquisition of 2D: 791.7 L.Km Beta • Recording System: 428 XL Charlie • Acquisition of 2D: 247.2 L.km • Recording System: 508 XT MARI RIGS
Rig Mari 1 Rig Mari 2 Rig Mari 3 Rig Mari 4 Rig Mari 5 1500HP Power Capacity 350HP Power Capacity Drilling Capacity 5000m 2500HP Power Capacity 2000HP Power Capacity 2000HP Power Capacity Drilling Capacity 800m Deepest Well Drilled Mari Drilling Capacity 8000m Drilling Capacity 7000m Drilling Capacity 7000m Deepest Well Drilled HRL Deep-14 (4050m Daharki) Deepest Well Drilled Halini 108 Deep 1 New addition in Rig Fleet New addition in Rig Fleet (785m, Daharki) (5900m, Karak) Potential Business Opportunities
MPCL is strategically focused on maximizing value for its stakeholders through investments in lucrative domestic and international oil & gas value chain to secure long-term growth and higher profitability.
Upstream Downstream and Value Added Sectors
Attractive incentives for E&P Sector in Pakistan under Pakistan offers tremendous opportunities for 2012 Petroleum Policy. investors, especially in energy value chain. Farm-in opportunities in MPCL operated blocks. Considering this potential and MPCL’s unique value proposition, the Company is positioning itself to be a fully integrated energy company. Opportunities to Jointly participate with MPCL in the upcoming bidding rounds for onshore/offshore MPCL is evaluating opportunities in diversified conventional/unconventional opportunities in Pakistan. businesses including but not limited to oil & gas pipelines, mining, renewables and conventional Globally, MPCL is scouting for farm-in/joint venture power generation, oil marketing and LNG value opportunities in exploration as well as producing assets chain. (with upside potential) to augment its reserve led growth strategy. The Company is finalizing joint venture agreements with industry players in different sectors in Pakistan and is open for strategic collaboration with international companies. RECENT AWARDS & RECOGNITIONS
MPCL is a highly accoladed company and regularly wins awards from independent industry bodies not only for its Financial & Operational performance but also for Best Management Practices, HR, HSE and CSR initiatives MPCL IN THE NEWS Mari Petroleum Company Limited