INDIAN OIL CORPORATION

By:Mintu Choudhury Md Nadeem Raza Khan Adam Shah

COMPANY BACKGROUND

Indian Oil Corporation at a Glance

Number of Shares Market Capitalization (in crores) 209934345 48135.10

Employees
Refinery Capacity (in MMTPA) Retail Outlet

approx 35,000
65.70 over 32,500

COMPANY BACKGROUND

IOCL is a public sector undertaking formed in 1964 through the merger of Indian Oil Company Ltd. and Indian Refineries Ltd.

It is the world's 88th largest corporation, according to the Fortune Global 500 list
18th largest petroleum company in the world

Major supplier to Defense forces, Railways (army-96%; navy-100%;

Airforce-90%; Railways-84%)

Only oil company to operate in every part of India Chairman of the company is Mr. R.S. Butola

COMPANY BACKGROUND
Shareholders Pattern
6%

Refining Market Share

9% 15% 7%

9% 81% 3% 1%

22% 40% 7%

Promoter Individuals

Institution Others

Bdy C orporate

IOCL

BPCL

HPCL

ONGC

RIL

ESSAR

Market Share Of Major Players

18% 21% 49% 9% 3%

Market Share in Pipeline

30% 16% 47% 7%

IOC L

BPC L

HPC L

RIL

OTHERS

IOCL

ONGC

HPCL

BPCL

SWOT ANALYSIS


1.
2. 3. 4.

Strength
India's largest commercial enterprise with a strong brand name Has around 50% petroleum products Operates 10 refineries in India Huge distribution network through retailing Accounts for a 47% share in the petroleum products market, 34.8% share in refining capacity and 67% downstream sector pipelines capacity in India Has over 35,000 employees Loyalty programs like XTRAPOWER Fleet Card Program is aimed at Large Fleet Operators

5.

6.

7.


1. 2.

Weakness
Legal issues Employee management Bureaucracy Volatility in the crude market & subsidy burden

3.
4.

1.
2. 3. 4.

Opportunity
Increasing fuel/oil prices Increasing natural gas market More oil well discoveries Expand export market

1. 2.

Threats
Government regulations High Competition

B USINESS ANALYTICS

ONLY COMPANY DISRIBUTION

IOCLs Existing Pipeline Network

Jalandhar Bhatinda Sangrur Panipat Ambala Roorkee Najibabad Tinsukia Bongaigaon Siliguri Guwahati Rajbandh Mourigram Haldia Hazira
Paradip

Mundra Kandla

Meerut Delhi Rewari Mathura Sanganer Tundla Ajmer Chaksu Bharatpur Lucknow Jodhpur Barauni Kanpur Kot Chittaurgarh Sidhpur Ahmedabad
Navagam

Digboi

Vadinar Dahe j

Koyali Ratlam

as on 1.12.2012
Pipeline Length (km) 6632 4376 11008 132 Capacity (MMTPA) 36.86 40.40 77.26 9.5
MMSCMD

Product Crude Total Gas

Bangalore Bangalore AFS

Chennai Asanur
CBR

LEGEND
Product Crude Oil Gas Refinery

Chennai AFS

Sankari

Trichy Madurai

12

UBIQUITOUS PRESENCE
Refining: 10 Refineries; Refining market share of 40%

Pipeline: 9273 kms pipeline (crude & product)

Marketing:Market share Of 45%; 55% of industry infrastructure

Petrochemicals: Operational Lab & Px/PTA Plants

PRODUCT PROFILE

STRATEGIES TO FACE:

Entering into new business segment of city gas distribution

Planning to invest aggressively in petrochemical sector

Planning to enter in retail business through opening retail outlets at prime location petrol pumps 180 new & cost effective product formulations developed Indalin+ technology for conversion of Naphtha to LPG/MS