IRPC Public Company Limited Opportunity Day: 2Q17 & 1H17 Result - - PowerPoint PPT Presentation

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IRPC Public Company Limited Opportunity Day: 2Q17 & 1H17 Result 24 August 2017 Disclaimer This presentation material has been prepared solely for informational purposes only. IRPC is furnishing it solely for use by prospective investors /

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SLIDE 1

IRPC Public Company Limited

Opportunity Day: 2Q17 & 1H17 Result

24 August 2017

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SLIDE 2

Disclaimer

This presentation material has been prepared solely for informational purposes only. IRPC is furnishing it solely for use by prospective investors / analysts in the proposed event. IRPC makes no representations or warranties as to the accuracy or completeness of such information. By accepting this material each recipient agrees that IRPC shall not have any liability for any representations (express or implied) contained in, or for any omissions from this presentation. The information contained herein does not purport to be all-inclusive or to contain all of the information that may be material to the recipient’s decision. Each recipient of the information and data contained herein should perform its own independent investigation and analysis of the transaction and the creditworthiness of IRPC . Reference in this Disclaimer to this shall include references to the Appendices (if any) hereto.

2

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SLIDE 3

2Q17 & 1H17 Highlight Operation & Financial Performance Project Update

Agenda

Industry Outlook

3

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SLIDE 4
  • 10%

93% 17% 23% 61% 16% 70% 29% 1%

Financial Highlight: 2Q17 & 1H17 Performance

Better MKT GIM from higher U-rate after TA though soften spread and stock loss from lower crude price

40,471 36,866 49,930 78,721 86,796

QoQ 35% YoY 23%

Overview of Business

Net Sales

(net excise tax)

Dubai (Avg.)

Unit: $/bbl

Net Income

Unit: MB Unit: MB YoY 67% QoQ 48%

EBITDA

Unit: MB

6,107 3,549 3,706 9,859 7,255

YoY 39% QoQ 4%

1Q17

Petroleum Petrochemical Utilities and Others

Net Sales

(net excise tax)

EBITDA Net income

4

YoY 10% YoY 26% YoY 47%

2Q17

49,930 MB 3,706 MB 1,228 MB

3,706 2,365 1,228 6,720 3,594 2Q16 1Q17 2Q17 1H16 1H17 Market GIM($/bbl) 13.39 15.69 13.58 13.54 14.33 Crude run KBD 182 116 194 184 155 43 53 50 37 51

+35% +4%

  • 48%

18% 76% 6% 27% 62% 11% 66% 32% 2%

36,866 MB 3,549 MB 2,365 MB

Planned TA Planned TA

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SLIDE 5

879 2,202 1,024 1,228

832 456 198

3,461 2,000 992 283

829

173 191 2,202 1,178 52 152

5 Unit: MB

Net Profit 2Q17 Net Profit 1Q17 Volume Increase Margin Decrease Everest Project

  • FX. Gain

Decrease Selling

  • Exp. +

OPEX Others Stock Loss & Hedging +LCM Depre. Operating Profit 2Q17

2,365

Net Income: 2Q17 vs 1Q17

Operating Profit

Net Stock Gain/(Loss) FX gain Impair. Reversal

Operating Tax Non-

  • perating

Tax

Operating Profit  151%

Net Income: 2Q17 vs 1Q17

Operating profit improved from volume increase & efficiency improvement but margin drop

Sales Qty. (Exclude PTTGC) 1Q17 = 11.06 Mbbl 2Q17 = 17.31 Mbbl
  • MKT. GIM
(Exclude Everest) 1Q17 = 5,245 2Q17 = 6,756 (Deduct Volume 3,461 1Q17 = 681 2Q17 = 1,673 1Q17 = (3,503) 2Q17 = (3,786) 1Q17 = (1,090) 2Q17 = (1,919) Other Rev. 114 Income Tax 217
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SLIDE 6

Highlight Everest Project : 1H17 Performance

Procurement Area Commercial Area Operations Area Corporate Area - Non HR

  • Maximize energy efficiency and reduce loss in production units
  • Improve efficiency and effectiveness of maintenance
  • Reduce production unit downtime and minimize operating days lost
  • Maximize commercial value generation from refined petroleum and

petrochemical products

  • Asset Port and Tank management
  • Optimize timing, duration and cost of turnaround
  • Spend optimization with key expenditure categories
  • Optimize small CAPEX spend for highest value expenditures
  • Budget management
  • Optimize planning and policies to ensure continued productivity

enhancement

2,560 1,921 177 281

841 395 99 81

7,003 2,354 Total

Y2017 (Target) 1H17 Actual

Unit: MB of EBIT

$

Integrated Supply Chain

  • Optimize crude selection, product blending and hydrocarbon stock
  • Enhance throughput & yield by adjusting production unit parameter

Corporate Area - HR

  • Develop capabilities to sustain both performance and health
  • Improve organizational health practices for top quartile outcomes

1,348 716

123 816

6

Key Area

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SLIDE 7

Improvement after Turnaround

  • Increase capacity 150 to 165 KBD
  • Increase diesel yield by separation

efficiency and product purity

  • Energy saving from fuel gas

consumption reduction

  • Add future process coil at

convection section

  • Reduced temperature of stack
  • Improve crude inlet temperature

(CIT): Improve crude preheat train from 248 ˚C to 274 ˚C

  • Online cleaning for heat exchangers

ADU 2 Internal column retrofit (165 KBD) ADU2 and Reformer Unit (RFM) heater efficiency improvement ADU2 Energy improvement by Pinch technology

Objective

1 2 3

  • Extend Catalyst life 2.5 to 4 years

& Reduce shutdown time

  • Install new feed distributor and new

quench section Diesel Kerosene Treating Unit (DK) reactor internal retrofit 4 Reformer Unit (RFM) heater efficiency improvement

EXAMPLE

Capacity increase Yield Increase Fouling Prevention T/A extension Energy Saving 7

Benefit after turnaround ~1,000 MB per year with one time CAPEX of ~300 MB

     

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SLIDE 8

Achievement & Awards

8

“3 Asian Excellence Awards 2017”

  • Asia’s Best CEO
  • Asia’s Best CFO
  • Asia’s Best IR Company

by Corporate Governance Asia

“Asia Responsible Entrepreneurship Awards 2017”

  • Investment in People Category

by Enterprise Asia “NACC Integrity Awards 2016” by the National Anti-Corruption Commission “SET Sustainability Awards 2016 (Outstanding)” by the Stock Exchange of Thailand “Popular Stock Awards 2016” by Stock News Daily and the Stock Exchange of Thailand “Best Investor Relations Awards (SET AWARDS 2016)” by the Stock Exchange of Thailand

“The Best Corporate in Asia 2016 : Asia’s Outstanding Company In Corporate Governance” by Corporate Governance Asia journal

“Bronze Class Sustainability Award 2017”

by RobecoSAM “The Prime Minister's Industry Award 2016” by the Ministry of Industry

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SLIDE 9

2Q17 & 1H17 Highlight Operation & Financial Performance Project Update

Agenda

Industry Outlook

9

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SLIDE 10

3.2 1.4 2.0 4.0 2.4 2.1 2.3 2.1 2.8 2.6 2.1 1.4 2.4 2.5 2.7 2.5 6.0 4.0 4.1 5.4 4.8 4.6 5.0 4.6 1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 1H16 1H17

Lube Base Refinery

Market GRM

Sales Volume & Revenue

13.2 12.1 12.9 13.9 9.0 14.1 25.3 23.1

2.0 1.8 1.6 1.7 1.1 1.7 3.8 2.8

15.2 13.9 14.5 15.6 10.1 15.8 29.1 25.9

1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 1H16 1H17

Lube Base Refinery

17.0 16.6 16.2 17.3 10.4 17.6 33.6 28.0 Crude intake M.bbl

Unit : $/bbl

Sales Distribution

24,966 27,088 27,589 33,509 24,344 34,754 52,054 59,098 Petroleum

Local 62% Export 38%

1Q17

Top 5 Export Destination in 2Q17 : Singapore, Malaysia, Cambodia, Laos, Japan

 2Q17 : Petroleum revenue

  • 43% increase QoQ: 57% volume increase vs 14% price decrease
  • 28% increase YoY : 14% volume & price increase

 2Q17 Market GRM was $4.6/bbl:

  • $0.2/bbl decrease from 1Q17 due to lower refinery spread
  • $0.6/bbl increase from 2Q16, from higher Diesel & FO spread

Local 62% Export 38% YoY  14% QoQ  57% YoY  28% QoQ  43% Sales volume (M.bbl) Revenue (MB)

1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 1H16 1H17

10

YoY  11% YoY  14%

Petroleum Group : Sales & GRM

Increasing Sales volume after TA; Slightly decrease GRM derived from Refinery’s spread

20,981 23,354 24,221 29,792 21,405 30,314 44,335 51,719 Refinery 3,985 3,734 3,368 3,717 2,939 4,440 7,719 7,379 Lube Base

2Q17

 1H17 : Petroleum revenue

  • 14% increase YoY: 25% price increase vs 11% volume decrease

 1H17 Market GRM

  • $0.4/bbl decrease from 1H16 due to the refineries’ turnaround

during 1Q17

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SLIDE 11

Petrochemical Group : Sales & PTF

Higher sales volume after TA; Spread went down especially in Styrenics

1.8 2.4 1.5 2.4 4.0 2.9 2.1 3.3 4.9 5.9 5.7 3.8 5.7 5.1 5.4 5.3

6.7 8.3 7.2 6.2 9.7 8.0 7.5 8.6

1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 1H16 1H17

Unit : $/bbl Olefins & Polyolefins Aromatics & Styrenics 182 152 163 180 114 160 335 274 196 212 226 224 169 237 407 406

378 364 389 404 283 397 742 680 1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 1H16 1H17

Olefins & Polyolefins Aromatics & Styrenics

Crude intake (M.bbl)

Sales Volume and Revenue

17.0 16.6 16.2 17.3 10.4 17.6 33.6 28.0

Sales Distribution

12,471 12,573 13,292 13,780 11,951 14,472 25,043 26,423 Petro- chemical

Local 56% Export 44%

2Q17

Top 5 Export Destination in 2Q17: Japan, Hong Kong, Singapore, Australia, UAE

Local 62% Export 38%

 2Q17 : Petrochemical revenue

  • 21% increase QoQ: 40% volume increase vs 19% price decrease
  • 15% increase YoY: 9% volume increase & 6% price increase

 2Q17 Market PTF was $8.0/bbl

  • $1.7/bbl decrease from 1Q17 due to lower product spread
  • $0.3/bbl decrease from 2Q16 due to lower Olefins spread

YoY  9% QoQ  40% YoY  15% QoQ  21%

Sales volume (KMT)

Revenue (MB)

1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 1H16 1H17

11

YoY  8% YoY  6%

Market PTF ($/bbl)

6,781 7,497 8,058 7,445 6,798 8,361 14,277 15,159 Olefins 5,690 5,076 5,234 6,335 5,153 6,111 10,766 11,264
  • Aro. &
Styrenics

1Q17

 1H17 : Petrochemical revenue

  • 6% increase YoY: 14% price increase vs 8% volume decrease

 1H17 Market PTF was $8.6/bbl

  • $1.1/bbl increase from 1H16 due to higher Styrenics spread
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SLIDE 12

15.69 13.58

4.56 0.89 0.21 0.32 1.03 6.0 4.0 4.1 5.4 4.8 4.6 5.0 4.6 6.7 8.3 7.2 6.2 9.7 8.0 7.5 8.6

1.0 1.1 1.2 1.0 1.2 1.0 1.0 1.1

13.7 13.4 12.5 12.6 15.7 13.6 13.5 14.3 1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 1H16 1H17

13.7 13.4 12.5 12.6 15.7 13.6 13.5 14.3

(1.2) 3.8 0.1 2.4 3.4 (1.2) 1.3 0.6

(1.5) (1.4) (1.2) (1.9) (0.8) (0.8) (1.5) (0.8)

11.0 15.8 11.4 13.1 18.3 11.6 13.4 14.1 1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 1H16 1H17

Gross Integrated Margin (GIM)

Though market spread decrease $4.6/bbl, market GIM decrease only $2.1/bbl

Market GIM

Unit: $/bbl

Accounting GIM

Unit: $/bbl

MKT GIM 1Q17 MKT Spread

Fuel Loss & Internal Use

Premium

  • n Dubai

UHV Project Everest Project MKT GIM 2Q17

MKT GIM:  2.11 $/bbl

QoQ:  43% YoY:  5%

3,625 2,327 2,372 3,341 1,748 2,760 5,952 4,508

4,103 4,857 4,042 3,818 3,561 4,864 8,961 8,425 595 685 665 603 453 616 1,279 1,069

8,323 7,869 7,079 7,762 5,762 8,240 16,192 14,002

GRM PTF Power & Utility

Unit: MB

8,323 7,869 7,079 7,762 5,762 8,240 16,192 14,002

(712) 2,242 44 1,471 1,275 (712) 1,530 563 (920) (821) (686) (1,194) (300) (466) (1,741) (766)

6,691 9,290 6,437 8,039 6,737 7,062 15,981 13,799

Market GIM Stk G/(L) & LCM Hedging

QoQ:  5% YoY:  1%

12

YoY:  14% YoY:  14%

$/bbl

3.2 1.4 2.0 4.0 2.4 2.1 2.3 2.1 2.8 2.6 2.1 1.5 2.4 2.5 2.7 2.5

6.0 4.0 4.1 5.4 4.8 4.6 5.0 4.6 1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 1H16 1H17

Refinery Lube Base 4.9 5.9 5.7 3.8 5.7 5.1 5.4 5.3 1.8 2.4 1.5 2.4 4.0 2.9 2.1 3.3

6.7 8.3 7.2 6.2 9.7 8.0 7.5 8.6

Olefins Aromatics&Styrenics

Market GIM by business

Unit: $/bbl

Petrochemical Petroleum

Unit: MB

Noted : Normalized GIM 1Q17 = 14.7 $/bbl
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SLIDE 13

56,905 54,204 58,617 783 14,851 10,476

57,688 69,055 69,094

1,346 1,909 2,181

  • 10,000

20,000 30,000 40,000 50,000 60,000 70,000

2Q16 1Q17 2Q17 L/T Debt S/T Debt Cash

0.72 0.81 0.84

2Q16 1Q17 2Q17

Debt Portfolio

Baht loans were drawn down to repay USD bond & Baht loan

ST Loan 15% LT Loan (USD) 7% LT Loan (THB) 52% Bond (THB) 26%

Debt Structure Debt Profile

Float 74 THB 74 Fixed 26 USD 26 Currency (%) Interest Rate (%)

Net Debt = 66,912 MB

  • Ex. Rate = 34.15 Baht/$

Financial Ratios

0.80 0.66 0.89

2Q16 1Q17 2Q17

< 1.0x

Net D/E CA/CL

Unit : MB Net Debt

Maturity of Long-term Debt

Unit : MB MB ST Loan THB 10,476 LT Loan USD 135 4,598 LT Loan THB 36,134 Bond USD

  • Bond

THB 17,886 Total 135 69,094

Debt

Currency

56,342 66,912 67,146 13

1,168 2,535 3,732 6,204 22,494 340 3,239 679 340 2,640 4,999 3,361 6,886

4,148 10,773 7,773 6,544 29,380 3Q17-4Q17 2018 2019 2020 >2020 THB Bond USD Loan THB Loan

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SLIDE 14

2Q17 & 1H17 Highlight Operation & Financial Performance Project Update1

Agenda

Industry Outlook

14

slide-15
SLIDE 15 23% 8% 11% 4% 4% 14% 10% 15% 11% 11% 40% 38% 45% 47% 48% 5% 10% 8% 9% 10% 16% 21% 16% 19% 18% 2% 5% 3% 3% 3% 6% 1% 6% 6% 2% 0.8% IRPC IRPC+UHV IRPC 2015A IRPC 2017F IRPC 2018F Ethylene Propylene LPG Naphtha Gasoline Diesel/Jet Fuel Lube Oil Fuel Oil

Designed Yield

0.8%

UHV project : Major CAPEX

IRPC’s Production Yield

15

Upstream project for Hygiene & Value-added Products Objective : Upgrade low value to high valued-added products Investment : $ 1.1 bn COD : Jul. 2016 Benefit : GIM 1.5-2.0 $/ bbl

Assumption : Spread propylene to FO ~ 500-600$/bbl RDCC unit

  • Feed Cut-in
@ Jun 16
  • COD @ Jul 16

HYVAHL unit

  • Feed Cut-in
HS-ATB @ Jul 16
  • COD @ Jul 16

Performance Guarantee Test

  • RDCC run 100%
@ Oct 2016

Plant Acceptance (PAC) Jan 2017

43% 84% 95%

2016A 2017F 2018F

Upgrade to High Valued-Added products

UHV to raise flexibility and improve product yield and earnings

131 123 163 367 220 326 74

HS-ATB LPG Ethylene

HYVAHL Propylene

Naphtha FO/FG

Middle Distillates

RDCC

C4 Raffinate III

Internal use & Loss

Unit : KTA 16% 5%

23%

9% 9% 26% 12%

Flow Diagram

LS-ATB

UHV

Designed Yield

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SLIDE 16

Value added on UHV project

16

Gasoline Maximization Project UHV Catalyst Cooler in RDCC plant

Objectives

  • Flexibility of crude selection
  • Fully optimized UHV operation
  • Utility cost from cracking heavy crude molecule

CAPEX : 1,390 MB IRR : ~ 35% COD : by end 2018 & 1H19 Benefit : GIM 0.3$/bbl Objectives

  • To capture domestic market gasoline deficit
  • Increase UHV benefit
  • Maximize Gasoline Yield
  • Reduce Thailand import

CAPEX : 1,100 MB IRR : ~ 80% COD : by end 2017 Benefit : GIM 0.4$/bbl

Demin

To improve margin with small CAPEX

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SLIDE 17

17

  • CAPEX : $ 236 mn
  • Benefit :

GIM 0.8-1.0 $/bbl

  • COD : 3Q2017

Random PP

  • Pipe grade
  • Hygiene

Super Clear PP

  • Container box
  • Medical Device

Block-CO PP

  • Household Material
  • Heavy-duty

HOMO PP

  • Film application
  • Fiber grade

PP Specialty

  • Frozen food packaging
  • Lamination
  • Health care

PP Compound

  • Automotive:

pumper, instrument panel, etc

PPE 160 KTA

PPC140 KTA

Total PP 775 KTA in 2017

PP Existing 475 KTA

Apr 20, 2015 BOD approved May 2015 awarded EPC Contractor

  • Jul. 2015

signed contract with Sinopec

Aug.2017

PP Expansion and PP Compound Project

PPE&PPC Benefit Enhancement

Propylene from UHV is major feedstock, Increase PP capacity to 775,000 ton per year

Compounding House PP inline compound

Lower cost : PPC production by Inline process technology

Note: Cost Saving • No Packing & Logistic

  • No 2nd Extruder Process

PPE MC: End Jun.17 COD Aug. 2017

Sept.2017

PPC MC: Mid Jul.17 COD Sept. 2017

PP Compound 11%

Random PP 10%

Homo PP 58%

Block-CO PP 21%

PP Marketing Strategy : Sales Plan

2017

Volume: 600 Ktons

2022

Volume: 760 Ktons

Random PP 4% Homo PP 75% Block-CO PP 21%

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SLIDE 18

2Q17 & 1H17 Highlight Operation & Financial Performance Project Update

Agenda

Industry Outlook

18

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SLIDE 19

19

Global Oil Price Outlook

Global Oil Supply & Demand

  • Strong global oil demand growth in 2017-18, 1.81 MMB/D
  • Middle Distillates, the strongest growth in 2017
Source: PIRA, July 2017
  • Non-OPEC US roughly 70% of growth
  • OPEC growth: Good production discipline
Source: PIRA, July 2017

30 40 50 60 70 80

2015 2016 2017 2018 2019

Barclays BNP Citigroup Credit Suisse Deutsche Bank JBC

$52-60 $50-65 $52-65 Source: Reuters , July 2017

$/bbl Brent

Crude Oil Price Forecast

Fundamentals point to tightening balances, gradual oil price recovery, with Brent prices to average $52-60/bbl in 2017

Surplus stock reduction moderates substantially in 4Q17 and accelerates in 1H2018 before starting to rebuild in 2H2018

Global Commercial Stock Surplus

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SLIDE 20

Short-Term Crude Oil and Petroleum Products Outlook

Positive outlook of Refined Products

Driving Determinants Key Products Price (2Q17) Spread (2Q17) 3Q17 4Q17 Refinery ($/bbl) ($/bbl) Outlook Outlook Dubai 49.8 ULG 95 64.0 14.2 GAS OIL 0.05%S 61.2 11.4 FO 48.0 (1.8) Lube Base Oil ($/T) ($/T) Outlook Outlook 500 SN 860 556 150 BS 962 658

20

  • Price decrease in 3Q17 after N/E ASIA refinery start up and soft

demand from rainy season

  • Demand pick up after rainy season in 4Q17
  • 3Q17 150BS; steady demand and low supply due to

arbitrage from deep sea close will support stable price

  • 4Q17 150BS; weak demand from winter in N/E Asia
  • Oil producer's compliance to crude oil supply cut remains

high leading by Saudi Arabia and Russia amid expectation

  • f falling global oil inventories from growing oil demand but

rapidly-rising production in Libya/Nigeria and US shale oil production still pressure price

  • Gasoline cracks remain strong, but significant risk of sharp

fallback towards end 3Q17 as higher supply after refineries return from maintenance and few demand

  • Middle distillate cracks is continuing to be under downwards

pressure due to surplus from China could raise export quota in 3rd round as more new capacity coming in 2H17

  • Fuel oil cracks seen staying strong owing to tight supply,

especially from FSU and winter demand will be support price

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SLIDE 21

Short-Term Petrochemical Products Outlook

Positive outlook of Petrochemical Products

Key Products Price (2Q17) Spread (2Q17) 3Q17 4Q17 Olefins ($/T) ($/T) Outlook Outlook Ethylene 990 544 Propylene 742 296 HDPE 1,276 830 PP 1,107 661 Styrenics ($/T) ($/T) Outlook Outlook PS 1,324 878 ABS 1,672 1,226

Driving Determinants

  • Market could be tighten during 4Q17 with some

schedule TA in NEA& SEA

  • Demand will get stronger
  • Global market supply is expected to be long in the

medium-to-long term outlook with additional capacity expected to be commissioned by North American PE producers using cost- advantaged feedstock from shale gas

21

  • Traders will built up some inventories as the third

quarter manufacturing season in China has kicked off

  • Electronics/appliances and consumer products sectors

will remain the key demand drivers for PS

  • Olefins market sentiment have pressure after TA

completed

  • Market could tighten again during late 3Q17 to

4Q17 with some schedule turnaround in Asia and higher demand at year end

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SLIDE 22

Capacity Before After Propylene (UHV) 412 KTA 732 KTA

22

2010 2014

Margin Improvement

  • Operational Excellence
  • Commercial Excellence
  • Procurement & HR

Excellence

Benefit +135 MUSD

INDIVIDUAL OWNERSHIP SYNERGY PERFORMANCE EXCELLENCE INNOVATION RESPONSIBILITY FOR SOCIETY INTEGRITY & ETHICS TRUST & RESPECT

Other Projects Completion

  • Operational Efficiency

Improvement

  • Asset Utilization Enhancement
  • Product and Service Improvement
  • Capacity and Products Expansion

Incremental Margin and Organization Health

  • Capability Building
  • Owner mindset & Performance

Orientation

  • Cultural Changes

Fully Integrated PP

E4E Everest forever

IRPC Strategic Roadmap to 2020

Capture benefits and growth after investment to reach 1st Quartile ROIC

BIG

Revenue Growth of 5% EBITDA Growth of 10% 1st Quartile ROIC in Petroleum and Petrochemical Industry

STRONG LONG

Member of DJSI Emerging Markets Universe

Capacity

Before After

PP (PPE&PPC) 475 KTA 775 KTA

2017

2016

Capacity Before After CHP I

  • Electricity
  • Steam

108 MW 200 T/hr 328 MW 620 T/hr PRP (Propylene) 312 KTA 412 KTA

22

Beyond Everest

Power of Growth Power of People Power of Digital

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SLIDE 23
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SLIDE 24

Thank You

Investor Relations Contact: ir@irpc.co.th

  • Tel. 02-649-7380, Fax. 02-649-7379

Presentation is available at

www.irpc.co.th

Click “Presentations”

This presentation material has been prepared solely for informational purposes only. IRPC is furnishing it solely for use by prospective investors / analysts in the proposed event. IRPC makes no representations or warranties as to the accuracy or completeness of such information. By accepting this material each recipient agrees that IRPC shall not have any liability for any representations (express or implied) contained in, or for any omissions from this presentation. The information contained herein does not purport to be all-inclusive or to contain all of the Information that may be material to the recipient’s decision. Each recipient of the information and data contained herein should perform its own independent investigation and analysis of the transaction and the creditworthiness of IRPC . Reference in this Disclaimer to this shall include references to the Appendices (if any) hereto.

Please complete our 2Q2017 satisfaction survey via QR CODE

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SLIDE 25

Statement of Financial Position & Ratio

Higher Net D/E from CAPEX and dividend paid

121,361 126,812 11,169 10,851 37,806 36,576 2,042 2,181 81,005 80,046 2,203 2,255 56,445 58,617 32,725 35,502

Unit: MB

PP&E Other Non-C/A Cash 172,378 Other Current Liabilities L/T Liabilities (incl. due within 1 yr) Shareholders’ Equity

Jun 30, 2017

176,420

Dec 31, 2016 Assets :  AR 1,373 MB

  • Higher sales volume

 PP&E 5,451 MB

  • Rising from PPE+PPC Projects offset with

Depreciation Liabilities & Equity  IBD 6,507 MB

  • Higher short-term loan of 4,335 MB and

Long-Terms loan including current portion

  • f long-terms loan increased 2,172 MB

(caused by long term loan of 18,000 MB drawdown to repay loans & bonds 15,228 MB and unrealized F/X gain of 600 MB)  Equity 959 MB

  • Dividend paid 4,700 MB(@ 0.23 THB/share)
  • ffset by increase in NI 3,594 MB

Other C/A

2Q16 1Q17 2Q17 2Q16 1Q17 2Q17 EBITDA Margin (%) 13.55 8.89 6.79 Current Ratio (time) 0.80 0.66 0.89 Net Profit Margin (%) 8.22 5.92 2.25 Quick Ratio (time) 0.21 0.14 0.31 Earnings per share (Baht/share) 0.18 0.12 0.06 Return on Equity

(%)

17.48 11.52 8.94 Net Debt to Equity (time) 0.72 0.81 0.84 RATIOS Financial Policy Ratio Profitability Ratios Liquidity Ratios

Other Non-Current Liabilities 25

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SLIDE 26

Backup

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SLIDE 27

27

Support

 CAPEX Plan in 2017 – 2021  Market Outlook  Specialty Petrochemical Products Ratio  Petrochemical Yield  Petroleum & Petrochemical Spread  Petroleum & Petrochemical Production  Financial Performance  Lower of Tax  Gain/(Loss) from Investment  Hedging  1H17 Cash flow  Key Milestone of UHV  Power of Growth/Digital/People  IRPC-CP Power

slide-28
SLIDE 28

2,027 3,235 2,118 2,481 2,247 2,314 2,313 1,716 3,793 4,146

20

826 86 133 549 1,483

8,788 11,539 2,118 2,481 2,247 2,314 2016A 2017 2018 2019 2020 2021

Other Projects 📞 Delta / Delta Plus 💼 Everest Project 🗼 PPE & PPC Project 🏭 UHV Project 🏮 Maintenance 🔨

Unit: MB

Capital Expenditure (CAPEX) Plan in 2017 - 2021

To Capture growth benefit after huge CAPEX

28

12,395 , 60% 1,716 , 8% 4,146 , 20% 826 , 4% 133 , 1% 1,483 , 7%

🔨 🏮 🏭 🗼 💼 📞

Total 20,700

IRPC 5 year CAPEX Plan Total : 20,700 MB

UHV PPE & PPC Maintenance

  • IRPC’s to reap cash flow after CAPEX of UHV and PPE&PPC
  • 2017 – 2021 CAPEX Plan : 60% Maintenance and 20% PPE&PPC
slide-29
SLIDE 29

Volatile Crude Oil Price

Crude Oil Market & Outlook

Target Production reached target Production did not reach target

OPEC: More compliance & beyond lower target in production cut

Reach 95% compliance in June. 2017

OPEC & non OPEC : Target & Compliance in 2Q17

29

  • OPEC could reach its low target of production cut by

1.1 MBD in June :  Leaded by Saudi Arabia, Venezuela, Kuwait – Lacked by Iraq, UAE, Algeria, Russia, Kazakhstan

  • Libya and Nigeria, are exempt and have steadily

ramped up production this year.

slide-30
SLIDE 30

U.S. Supply & Stock

  • U.S. Shale crude forecast for 2017

and 2018 has continued to rise.

  • The

biggest contributors are expected to come from the Permian basin

  • The rig is expected to continue to

flatten through the end of 2017 (660 rigs by Dec 2017 from 653 currently) before starting to rise and reach 740 rigs by year end 2018 as oil prices move higher.

  • Crude stocks drew from US refiners consumed large quantities of

crude and export to international markets.

  • Higher seasonal demand brought gasoline stock down to under 230

million barrels.

Source: PIRA, July 2017

U.S. Crude Oil Stock

Source: EIA 2017

U.S. Gasoline Stock

Unit: Million barrel Unit: Million barrel Source: EIA 2017

U.S. Shale Oil Keeps Growing :

30

slide-31
SLIDE 31

31

Sources: Nexant 2017, ICIS 2017

Company C2 capacity (kt/year) Start-Up OxyChem/ Mexichem 544 1Q17 (done) Dow Chemical 1,500 Mid-2017 ExxonMobil Chemical 1,500 End 2017 Chevron Phillips Chemical 1,500 4Q17, PE mid-2017 Formosa Plastics 1,250 2H18 Sasol 1,500 2H18, LDPE 2019, Other 2H19 Westlake (Axiall)/Lotte) 1,000 4Q18 Shintech 500 2018 Shell 1,500 Early 2020s Total/Borealis/NOVA 1,000 End 2020 Shell 1,500 Early 2020s Sabic/ExxonMobil 1,800
  • PTT Global Chemicals
1,000 2021 Formosa Plastics 1,200
  • Odebrecht/Braskem
1,050
  • US net trade changes

New US crackers complete, under construction, FID made

Middle East production China net trade changes

Company PE Capacity (kt/year) Start-Up Zhongtian Hechuang Energy, Inner Mongolia CTO LDPE: 250,120 2017 Zhong'an Lianhe Coal Chemical, Anhui CTO HDPE/LLDPE: 350 2017 Qinghai Mining, Qinghai CTO HDPE/LLDPE: 300 2017 CNOOC Huizhou, Guangdong Naphtha HDPE, LLDPE: 400,300 Q4 2017 Qinghai Damei Coal Industry, Qinghai CTO HDPE/LLDPE: 300 2017 Shenhua Coal to Liquid, Ningxia CTO HDPE/LLDPE: 430 2017 Jiangsu Sailboat MTO LDPE/EVA: 300 2017 Yan'an Energy and Petrochemical, Shaanxi CTO HDPE/LLDPE: 450 2018 Sinopec Guizhou, Guizhou CTO LLDPE: 300 2018 China Power Investment Corp, Inner Mongolia CTO HDPE/LLDPE: 300 2018 Shanxi Coking, Shanxi CTO HDPE/LLDPE: 300 2018 Shanxi Yanchang Petroleum, Shaanxi CTO HDPE/LLDPE: 300 2019 Shenhua (Baotou) phase II, Inner Mongolia CTO HDPE/LLDPE: 300 2020 Huahong Hongjin Coal Chemical, Gansu CTO HDPE/LLDPE: 200 2020

China CTO/MTO-based PE capacity far less than expected

Petrochemical Outlook

Polyethylene

  • US investments in ethylene derivatives are focused on PE

and MEG

  • Though average incremental capacity additions are

forecast at 1 MTA, China to sustain a net import position for many products

  • ME to sustain current net trade position
slide-32
SLIDE 32

32

China : Large investment  virtually balanced

Base case: China’s PP capacity versus consumption Sources: IHS 2017, ICIS 2017

India : The biggest importer / SEA : Strong growing demand China represents to the global landscape for new capacity

  • 1

1 2 3 4 5 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 Million Metric Tons China Rest Of the World Demand Addition

PP demand growth is robust vs other plastics

  • 1

1 2 3 4 5 6 PP PE PS PET PVC Average Annual Growth, % AAGR 11-16 AAGR 16-21

Petrochemical Outlook

Polypropylene: Strong demand vs potentially supply to delay

slide-33
SLIDE 33

ABS Market Outlook

Improved Operating Rate ABS demand catch up to additional capacity

Moderate demand growth with limited additional capacity addition

  • Very few additional capacities during next 3 years
  • Moderate demand growth relative to global GDP
  • The global operating rate bottomed out in 2014 at 68% and is expected to improve

approximately 80% range as the market digests the recent ABS capacity investments

Sources: IHS 2017 33 Sources: IHS 2017

slide-34
SLIDE 34

Fuel Oil Market Outlook

IMO 2020: The great shift to distillates

34

IMO - The International Maritime Organization

slide-35
SLIDE 35

16% 22% 31% 34% 35% 39% 43% 45% 55% 57% 60%

0.1 0.2 0.3 0.4 0.5 0.6 0.7

50,000 100,000 150,000 200,000 250,000 300,000 350,000 400,000 450,000 500,000 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

IRPC 75% PPC Rokita 25%

IRPC A&L

IRPC 60% Nippon A&L 37%

Sumithai 3%

Joint Venture Polyol

Sale Volume (MT)

ABS Powder Wood Composite

PE-Pipe

AMSAN Anti- Dripping

Green ABS EPS

Wire & Cable Conductive

UHMW-PE

PP Alloy & PP Composite

Natural Color Compound

Superabsorbent

PPE PPC

160 KTA 140 KTA To start up by 3Q,2017

Nano

Specialty Petrochemical Products

Increase High Value Added and Specialty Products to capture higher margin

35

PPE&PPC

Specialty Product

UHV Everest

slide-36
SLIDE 36

Petrochemical Yield(for Sales)

Olefins 192 11% Ethylene 192 11% Propylene Butadiene Aromatics 253 15% Benzene Toluene 132 8% MX 121 7% Polyolefins 940 55% HDPE/PE 140 8% PP 775 45% Polyol 25 1% Polystyrenics 334 19% ABS 179 10% PS 125 7% EPS 30 2% Total 1,719 100% Monomer 445 26% Polymer 1,274 74% 1,719 100% Capacity for sales (After PPE/PPC)

slide-37
SLIDE 37

Petroleum Performance : Refinery

Better Fuel oil spread but other spread decreased after maintenance shutdown

QoQ 4%

  • Higher production after main. SD
  • High inventory in USA
  • More exports from EU to Asia

+ Robust demand from India

QoQ 3%

  • Higher global inventory after main. SD
  • Lower demand, fishing ban, in South

China Sea

+ Strong demand from India & Indonesia

QoQ 42%

+ Low supply from Europe, Persian

Gulf and Russia’s export

+ Higher demand in ME for power

generation during summer

  • Higher supply from ME and India
  • Producers use LPG instead of

Naphtha, as lower LPG price

6.1 0.7 (1.9) 0.2 1.1 (1.3)

1Q16 2Q16 3Q16 4Q16 1Q17 2Q17

18.8 14.5 11.6 14.6 14.8 14.2

1Q16 2Q16 3Q16 4Q16 1Q17 2Q17

9.6 10.5 11.0 12.0 11.8 11.4

1Q16 2Q16 3Q16 4Q16 1Q17 2Q17

(5.2) (8.7) (4.3) (1.7) (3.1) (1.8)

1Q16 2Q16 3Q16 4Q16 1Q17 2Q17

Gas oil - Dubai ULG 95 - Dubai HSFO - Dubai Naphtha - Dubai

$/BBL $/BBL $/BBL $/BBL

Refinery Spread

37

QoQ 218%

slide-38
SLIDE 38

Petroleum Performance: Lube Base Oil

Greater Lube base oil spread but Asphalt demand shrank

500 SN : QoQ 23% 150 BS : QOQ 4%

+ Short supply of Lube

Base plants from plant maintenance shutdown in Japan, Korea and Singapore

QoQ 192%

  • demand shrank as the

delayed budget for road construction regarding the coming rainy season

(7.0) (47.9) (61.1) (80.4) (13.0) (38.0)

1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 $/TON

844 780 725 602 635 658

1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 $/TON

442 418 443 367 451 556

1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 $/TON

500SN – FO 180 3.5%S Spread 150 BS – FO 180 3.5%S Spread Asphalt – FO 180 3.5%S Spread

Lube Base Oil Spread

38

slide-39
SLIDE 39

QoQ - Flat

+ Maintenance shutdown in Vietnam

  • Few demand in South East Asia
  • Increasing supply from Saudi Arabia

Petrochemical Performance: Olefins

Spread stayed strong as tight supply from regional TA

QoQ 9%

+ Tight supply from regional T/A + Low raw material prices following

crude oil price

668 689 668 529 591 544 239 188 177 232 171 286

907 876 845 761 762 830

1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 Ethylene-NP HDPE-Ethylene

HDPE-Ethylene –Naphtha Spread Olefins Styrenics Aromatics

304 308 339 272 435 296 295 376 360 366 228 365

600 684 699 638 663 661

1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 Propylene-NP PP-Propylene

PP-Propylene –Naphtha Spread

$/TON $/TON

39

slide-40
SLIDE 40

QoQ 15%

  • Lower product prices following

Crude price

  • Sparse demand

Petrochemical Performance: Aromatics

Lower Toluene spread but higher MX spread

QoQ 5%

+ Tight supply from Korean

producers’ maintenance shutdown

224 184 175 192 200 170

1Q16 2Q16 3Q16 4Q16 1Q17 2Q17

254 263 267 215 192 202

1Q16 2Q16 3Q16 4Q16 1Q17 2Q17

MX – Naphtha Spread Toluene – Naphtha Spread Olefins Styrenics Aromatics

$/TON $/TON

40

slide-41
SLIDE 41

QoQ 15%

  • Supply gluts after their

maintenance shutdown

  • Lower product prices toward

low raw material prices

  • Soften demand

QoQ 11%

  • Increasing Supply after their

maintenance shutdown

  • Decreasing product prices

following raw material prices

Petrochemical Performance : Styrenics

Spread decreased by the supply glut after their maintenance shutdown

809 806 810 842 1,029 878

1Q16 2Q16 3Q16 4Q16 1Q17 2Q17

854 897 984 1,092 1,382 1,226

1Q16 2Q16 3Q16 4Q16 1Q17 2Q17

PS –Naphtha Spread ABS –Naphtha Spread Olefins Styrenics Aromatics

$/TON $/TON

41

slide-42
SLIDE 42 50% 49% 63% 68% 61% 68% 49% 65% 27% 23% 23% 16% 25% 20% 25% 22% 9% 10% 9% 11% 9% 6% 10% 7% 14% 18% 5% 5% 5% 7% 16% 6%

Others Domestic Far East Middle East

Petroleum Production

High Record of Utilization Rate after 1Q17 Turnaround

1.0 0.8 0.7 0.9 0.5 0.8 1.8 1.3 0.8 0.9 0.8 0.9 0.5 0.9 1.7 1.4

1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 1H16 1H17

Lube Asphalt

Unit : Mbbl

Unit : Mbbl

LPG & Others Naphtha Gasoline Diesel Fuel oil 1.8 1.6 0.8 0.8 0.6 0.7 3.3 1.3 7.6 7.6 7.1 7.6 4.7 7.8 15.2 12.5

1.6 1.6 1.6 1.6 0.8 1.7 3.1 2.5 0.6 0.5 0.7 0.8 0.6 1.0 1.1 1.6 0.3 0.1 0.1 0.2 0.1 0.3 0.5 0.4

1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 1H16 1H17 Unit : KMT 4.12 3.11 2.58 2.07 2.28 1.39 3.62 1.32

187 182 176 188 116 194 184 155

Crude Run (KBD) 23.2 1.8 1.7 1.5 1.8 1.0 1.7

Remark: Excluding internal use quantity Remark: Excluding internal use quantity

42

7 12 6 10 16

15

27 11 21 32

53 68 29 65 95 23 29 2 18 21

7 8 2 7 8 13 11 5 10 15

118 156 55 132 188

3Q16 4Q16 1Q17 2Q17 1H17

LPG L-Sulfur Propylene HCN Diesel Fuel Oil 51% 51% 69% 74% 62% 68% 51% 66% 49% 49% 31% 26% 38% 32% 49% 34%

1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 1H16 1H17

Sweet Crude Sour Crude

Premium over Dubai ($/bbl)

87% 85% 82% 87% 53% 90% 86% 72%

% Utilization

3.5 2.7 65% 86% 38% 82% 11.8 11.4 10.3 11.0 11.5 6.8 18.3 60%

% Utilization

100% 95% 87% 93% 48% 83% 97% 65%

% Utilization

Crude Intake RDCC Production Refinery Production Lube Base oil & Asphalt

slide-43
SLIDE 43

101 92 97 96 36 95 193 131 2

  • 5
  • 3

2 3 77 65 47 78 40 83 142 122

180 157 144 179 76 181 337 257

Petrochemical Group : Production

Highest Production Volume after TA: Both Olefins & Aromatics & Styrenics

1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 1H16 1H17 94% 95% 88% 84% 54% 95% 94% 74% % U-Rate

88% 91% 89% 82% 67% 93% 89% 80% Polyolefins 99% 99% 87% 85% 42% 96% 99% 69%

Olefins

Styrenics Aromatics

Aromatics & Styrenics Olefins

1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 1H16 1H17 98% 89% 80% 93% 61% 97% 94% 79%

% U-Rate

90% 86% 77% 80% 71% 95%

88% 83%

Polystyrenics

97% 78% 49% 105% 69% 107%

87% 88%

Styrenics

106% 98% 100% 98% 47% 94%

102% 71%

Aromatics

Polystyrenics

55 51 43 36 10 69 106 78 134 138 136 126 99 140 272 239

189 189 179 162 108 209 378 317

Olefins Polyolefins

Unit : KMT Unit : KMT

Remark : - Utilization rate calculated based on the main products

  • volume excluded internal use

 2Q17: 95% Olefins U-Rate at 209 KMT: the highest production volume after turnaround  1H17: 74% Olefins U-Rate as 1Q17 TA  2Q17: 97% Aromatics & Styrenics U-Rate at 181 KTA the highest production volume  1H17 : 79% Aromatics & Styrenics U-Rate

43

UHV COD
slide-44
SLIDE 44

44

Financial Performance

2Q16 1Q17 2Q17 1H16 1H17 2Q16 1Q17 2Q17 1H16 1H17 Net Sales 40,471 36,866 49,930 78,721 86,796 68.87 100.45 82.25 65.82 88.84 Market GIM 7,869 5,762 8,240 16,192 14,002 13.39 15.69 13.58 13.54 14.33 Stock Gain/(Loss) 2,248 1,270 (706) 1,246 564 3.83 3.46 (1.16) 1.04 0.58 LCM (6) 5 (6) 284 (1) (0.01) 0.01 (0.01) 0.24 (0.00) Oil Hedging Gain/(Loss) (821) (300) (466) (1,741) (766) (1.40) (0.82) (0.77) (1.46) (0.78) Net Stock Gain/(Loss) 1,421 975 (1,178) (210) (203) 2.42 2.65 (1.94) (0.18) (0.20) Accounting GIM 9,290 6,737 7,062 15,981 13,799 15.81 18.34 11.64 13.36 14.13 OPEX + Selling Exp. (3,496) (3,503) (3,785) (6,746) (7,288) (5.95) (9.54) (6.23) (5.64) (7.46) Other Incomes 312 315 429 623 744 0.54 0.86 0.71 0.52 0.76 EBITDA 6,107 3,549 3,706 9,859 7,255 10.39 9.66 6.12 8.24 7.43 Cost of Finance (222) (542) (537) (418) (1,079) (0.38) (1.48) (0.88) (1.10) (0.35) FX Gain/(Loss) 24 535 52 361 587 0.04 1.46 0.09 0.30 0.60 Impairment Gain/(Loss)

  • 236

2 (0) 238

  • 0.64
  • - 0.24

Investment Gain/(Loss) 55 95 117 22 212 0.09 0.26 0.19 0.02 0.21 Other Expenses (20) (4) (5) (26) (9) (0.03) (0.01) (0.01) (0.02) (0.01) Income Tax (847) (408) (191) (311) (599) (1.44) (1.11) (0.31) (0.26) (0.61) Net Profit 3,706 2,365 1,228 6,720 3,594 6.30 6.44 2.04 5.61 3.68 Unit: $/bbl Unit: MB

slide-45
SLIDE 45

45

Remark

Net Sales Crude run (KBD): 2Q17= 194 KBD, 1Q17= 116 KBD, 2Q16=182 KBD

QoQ: 35% (price  20%, volume  55%) YoY:  23% (price 10%, volume 13%)

  • Market GIM 2Q17=13.58$/bbl, 1Q17=15.69$/bbl, 2Q16=13.39$/bbl

QoQ:  $2.11/bbl (Prod. spread  $3.14/bbl , Everest  $1.03/bbl)

YoY:  $0.19/bbl (Prod. spread $1.63/bbl , Everest  $1.82/bbl)

  • Net Stock Gain/ (Loss) 2Q17 net Stock gain/(loss)= -1.94$/bbl

QoQ:  2,153 MB ( 4.59$/bbl)

(2Q17=-1,178, 1Q17=+975)

YoY:  2,599 MB ( 4.36$/bbl) (2Q17=-1,178, 2Q16=+1,421)

  • Oil Hedging: 2Q17=17% of production volume, (2Q16 = 10%, 1Q17 = 15%)
  • OPEX & Selling Exp.

QoQ:  increased by employee and repair & maintenance expenses YoY:  increased by consultant and donation expenses

  • Other Income

QoQ:  increased by port income, tank rental and throughput fee YoY:  increased by Lube blending service

  • Cost of Finance

QoQ: decreased by increase capitalizing of the interest during construction of PPE&PPC YoY:  increase after the COD of UHV project

  • FX Gain/(Loss)
  • Fx. rate Jun 30,17 = 34.15 THB/USD (USD Loan = 135 M.USD)

Mar 31, 17 = 34.61 THB/USD (USD Loan = 373 M.USD)

  • Impairment:  234 MB from no reversal of assets impairment in 2Q17
  • Investment: higher of dividend received from Thai oil (3 THB/share @ 16.9 M.shares)

and share of profit from associates

Financial Highlight: 2Q17 performance

QoQ YoY Net Sales 40,471 36,866 49,930 35% 23% Market GIM 7,869 5,762 8,240 43% 5% Stock Gain/(Loss) 2,248 1,270 (706) (156)% (131)% LCM (6) 5 (6) (220)%

  • Oil Hedging Gain/(Loss)

(821) (300) (466) (55)% 43% Net Stock Gain/(Loss) 1,421 975 (1,178) (221)% (183)% Accounting GIM 9,290 6,737 7,062 5% (24)% OPEX + Selling Exp. (3,495) (3,503) (3,786) (8)% (8)% Other Incomes 312 315 429 36% 38% EBITDA 6,107 3,549 3,706 4% (39)% Cost of Finance (222) (542) (537) 1% (142)% FX Gain/(Loss) 23 535 52 (90)% 126% Impairment Gain/(Loss)

  • 236 2

(99)%

  • Investment Gain/(Loss)

55 95 117 23% 111% Other Expenses (20) (4) (5) (25)% 75% Income Tax (847) (408) (191) 53% 77% Net Profit 3,706 2,365 1,228 (48)% (67)% Unit: MB % Change 2Q16 1Q17 2Q17

slide-46
SLIDE 46

46

Remark

Net Sales Crude run (KBD): 1H17= 155 KBD, 1H16=184 KBD

 10% (price  20%, volume  10%)

  • Market GIM 1H17=14.33 $/bbl, 1H16=13.54 $/bbl

 $0.79/bbl (Prod. spread  $0.76/bbl , Everest  $1.55/bbl)

  • Net Stock Gain/ (Loss) 1H17 net Stock gain/(loss)= -0.2$/bbl

 8 MB ( 0.02$/bbl)

(1H17=-203, 1H16=-210)

  • Oil Hedging: 1H17=16% of production volume (1H16 = 17%)
  • OPEX & Selling Exp.

BSA service, consultant and donation expenses offset with lower insurance expense

  • Other Income

 Recording of TPI Polene shares (28.7 M.Shares @ 2.26 THB/Share = 64.86 MB)

  • Cost of Finance

 increase after COD of UHV project

  • FX Gain/(Loss) :1H17

Fx.rate Jun 30,17 = 34.15 THB/USD (USD Loan = 135 M.USD) Jun 30, 16 = 35.34 THB/USD (USD Loan = 393 M.USD)

  • Investment: higher of dividend received from Thai oil (3 THB/share @ 16.9 M.shares)

and share of profit from associates

  • Income Tax:

Effective tax rate = 14% due to tax benefit from recording of DTA from major turnaround

Financial Highlight: 1H17 performance

Net Sales 78,721 86,796 10% Market GIM 16,192 14,002 (14)% Stock Gain/(Loss) 1,246 564 (55)% LCM 284 (1) (100)% Oil Hedging Gain/(Loss) (1,741) (766) 56% Net Stock Gain/(Loss) (210) (203) 3% Accounting GIM 15,981 13,799 (14)% OPEX + Selling Exp. (6,745) (7,289) 8% Other Incomes 623 744 19% EBITDA 9,859 7,255 (26)% Cost of Finance (418) (1,079) 158% FX Gain/(Loss) 361 587 63% Impairment Gain/(Loss) (0) 238

  • Investment Gain/(Loss)

22 212 864% Other Expenses (26) (9) 65% Income Tax (311) (599) (93)% Net Profit 6,720 3,594 (47)% Unit: MB % Change 1H16 1H17

slide-47
SLIDE 47
  • 10%

93% 17% 23% 61% 16% 70% 29% 1%

Financial Highlight: 2Q17 & 1H17 Performance

Better MKT GIM from higher U-rate after TA though soften spread and stock loss from lower crude price

40,471 36,866 49,930 78,721 86,796

QoQ 35% YoY 23%

Overview of Business

Net Sales

(net excise tax)

Dubai (Avg.)

Unit: $/bbl

Net Income

Unit: MB Unit: MB YoY 67% QoQ 48%

EBITDA

Unit: MB

6,107 3,549 3,706 9,859 7,255

YoY 39% QoQ 4%

49,930 MB

2Q17

Petroleum Petrochemical Utilities and Others

3,706 MB 1,228 MB

Net Sales

(net excise tax)

EBITDA Net income

47

YoY 10% YoY 26% YoY 47%

1H17

1% 95% 4% 25% 61% 14% 68% 30% 2%

86,796 MB 7,255 MB 3,594 MB

3,706 2,365 1,228 6,720 3,594 2Q16 1Q17 2Q17 1H16 1H17 Market GIM($/bbl) 13.39 15.69 13.58 13.54 14.33 Crude run KBD 182 116 194 184 155 43 53 50 37 51

slide-48
SLIDE 48

879 2,202 1,024 1,228

832 456 198

3,461 2,000 992 283

829

173 191 2,202 1,178 52 152

48 Unit: MB

Net Profit 2Q17 Net Profit 1Q17 Volume Increase Margin Decrease Everest Project

  • FX. Gain

Decrease Selling

  • Exp. +

OPEX Others Stock Loss & Hedging +LCM Depre. Operating Profit 2Q17

2,365

Net Income: 2Q17 vs 1Q17

Operating Profit

Net Stock Gain/(Loss) FX gain Impair. Reversal

Operating Tax Non-

  • perating

Tax

Operating Profit  151%

Net Income: 2Q17 vs 1Q17

Operating profit improved from volume increase & efficiency improvement but margin drop

Sales Qty. (Exclude PTTGC) 1Q17 = 11.06 Mbbl 2Q17 = 17.31 Mbbl
  • MKT. GIM
(Exclude Everest) 1Q17 = 5,245 2Q17 = 6,756 (Deduct Volume 3,461 1Q17 = 681 2Q17 = 1,673 1Q17 = (3,503) 2Q17 = (3,786) 1Q17 = (1,090) 2Q17 = (1,919) Other Rev. 114 Income Tax 217
slide-49
SLIDE 49

879 2,202 1,024 1,228

832 456 198

3,461 2,000 992 283

829

173 191 2,202 1,178 52 152

49

Net Income: 2Q17 vs 2Q16

2,529 1,950 1,024 1,024 1,228

1,157 20

454 1,444 1,240 291 538 15 237 1,178 52 152

Unit: MB

Net Profit 2Q17 Net Profit 1Q17 Volume Increase Margin Decrease Everest Project

  • FX. Gain

Decrease Selling

  • Exp. +

OPEX Others Stock Loss & Hedging +LCM Depre. Operating Profit 2Q17

2,365

Net Income: 2Q17 vs 1Q17

Net Profit 2Q17 Net Profit 2Q16 Volume Increase Margin Decrease Everest Project

  • FX. Gain

Increase Selling Exp. + OPEX Others Stock Loss & Hedging +LCM Operating Profit 2Q17

3,706

Operating Tax

Operating Profit

Net Stock Gain/(Loss) FX gain

Operating Profit

Net Stock Gain/(Loss) FX gain
  • Impair. Reversal

Unit: MB

Depre. Non-

  • perating

Tax Operating Tax Non-

  • perating

Tax

Operating Profit  151% Operating Profit  13%

Net Income: 2Q17 vs 1Q17 & 2Q17 vs 2Q16

Operating profit improved from volume increase & efficiency improvement but margin drop

2,202

Sales Qty.(Exclude PTTGC) 1/60 = 11.06 Mbbl 2/60 = 17.31 Mbbl
  • MKT. GIM (Exclude
Everest) 1/60 = 5,245 2/60 = 6,756 (Deduct Volume 3,461

Everest 1/60 = 681 2/60 = 1,673 1/60 = (3,503) 2/60 = (3,786 1/60 = (1,090) 2/60 = (1,919)

Other Rev. 114 Income Tax 217 Sales Qty.(Exclude PTTGC) 2/59 = 16.36 Mbbl 2/60 = 17.31 Mbbl
  • MKT. GIM (Exclude
Everest) 2/59 = 7,504 2/60 = 6,756 (Deduct Volume 454) 2/59 = 433 2/60 = 1,673 2/59 = (3,495) 2/60 = (3,786) Fin exp. 315 Other Rev. 117
  • Invest. Gain
62

1/60 = (1,381) 2/60 = (1,919)

slide-50
SLIDE 50

50

ไตรมาส 2/60 มีก าไรสุทธิ 1,228 ล้านบาท เทียบกับไตรมาส 1/60 ลดลง 1,137 ล้านบาท

หน่วย : ล ้ านบาท

2,365

3,461 2,000 992 2,153 283 483 234 437

1,228

Everest 1/60 = 681 2/60 = 1,673

  • MKT. GIM (Exclude
Everest) 1/60 = 5,245 2/60 = 6,756 (Deduct Volume 3,461)

1/60 = 975 2/60 = (1,178) 1/60 = (3,503) 2/60 = (3,786) 1/60 = 535 2/60 = 52

Net Profit 2/60 Net Profit 1/60 Volume Increase Margin Decrease Stock Loss & Hedging +LCM Everest Project

  • ปริมาณขาย (ไม่รวม PTTGC) 17.31 Mbbl เพิ่มขึ้นจากไตรมาส 1/60 6.25 Mbbl คิดเป็นร ้อยละ 57
  • Market GIM อยู่ที่ 13.58 $/bbl ลดลง 2.11 $/bbl โดยส่วนต่างราคาลดลง 3.14 $/bbl ในขณะที่ค่าเงินบาทที่แข็งค่าขึ้นจาก

35.29 บาท/$ (ไตรมาส 1/60) เป็น 34.47 บาท/$ (ไตรมาส 2/60)

  • ก าไรจากโครงการ Everest เพิ่มขึ้น 0.90 $/bbl หรือ 992 ล ้

านบาท จาก Operation 687 ล ้ านบาท Commercial 275 ล ้ านบาท และ Procurement & Corporate 30 ล ้ านบาท (มีผลต่อ GIM 1.03 $/bbl 967 ล ้ านบาท จาก Operation และ Commercial)

  • Stock Loss & Hedging Loss +LCM -1.94 $/bbl (-1,178 ล ้

านบาท) ลดลง -4.59 $/bbl (-2,153 ล ้ านบาท)

  • Selling & OPEX เพิ่มขึ้น 283 ล ้

านบาท ส่วนใหญ่จากค่าใช ้ จ่ายพนักงาน ค่าที่ปรึกษา ค่าซ่อมบ ารุง และค่าใช ้ บริการภายนอก

  • ก าไรจากอัตราแลกเปลี่ยน ลดลง เนื่องจาก USD Loan ลดลง 238 M.USD จากการช าระคืน ในขณะที่ค่าเงินบาทแข็งค่าขึ้นจากสิ้นไตรมาส 1/60 ที่ 34.61 บาท/$

มาปิดที่ 34.15 บาท/$

  • ก าไร/(ขาดทุน)จากการด ้

อยค่าและตัดจ าหน่ายทรัพย์สิน ลดลง เนื่องจากไตรมาส 1/60 มีการกลับรายการด ้ อยค่าในกลุ่ม IP จ านวน 232 ล ้ านบาท (โดยเป็นก าไรจากการประเมินราคาที่ดินของ IRPC เพิ่มขึ้น 81 MB และ อาคาร เครื่องจักร ของ บ. IRPC OIL เพิ่มขึ้น 151 MB)

  • อื่นๆ ส่วนใหญ่เพิ่มขึ้นจากค่าเสื่อมราคา ขณะที่มีส่วนแบ่งก าไรจากเงินลงทุนในบริษัทร่วมเพิ่มขึ้น และมีค่าใช ้

จ่ายภาษีเงินได ้ ลดลง อัตราแลกเปลี่ยน (THB/USD) ณ วันที่ ถัวเฉลี่ย 31 มี.ค.=34.61 1Q/60 = 35.29 30 มิ.ย.=34.15 2Q/60 = 34.47 ราคาน ้ามันดิบดูไบเฉลี่ย 1Q/60 = 53.12 $/bbl 2Q/60 = 49.77 $/bbl

  • FX. Gain

Decrease Selling Exp. + OPEX

Sales Qty.(Exclude PTTGC) 1/60 = 11.06 Mbbl 2/60 = 17.31 Mbbl Depre. 829 Other Rev. 114 Income Tax 217

Others Reversal of Impairment

1/60 = 236 2/60 = 2

slide-51
SLIDE 51

51

ไตรมาส 2/60 มีก าไรสุทธิ 1,228 ล้านบาท เทียบกับไตรมาส 2/59 ลดลง 2,478 ล้านบาท

หน่วย : ล ้ านบาท Net Profit 2/60 Net Profit 2/59 Volume Increase Margin Decrease Everest Project Selling Exp. + OPEX

  • FX. Gain

Increase

  • ปริมาณขาย (ไม่รวม PTTGC) 17.31 Mbbl เพิ่มขึ้นจากไตรมาส 2/59 0.95 Mbbl คิดเป็นร ้อยละ 6
  • Market GIM อยู่ที่ 13.58 $/bbl โดยส่วนต่างราคาลดลง 1.63 $/bbl ในขณะที่ค่าเงินบาทที่แข็งค่าขึ้น จาก 35.45 บาท/$

(ไตรมาส 2/59) เป็น 34.47 บาท/$ (ไตรมาส 2/60)

  • ก าไรจากโครงการ Everest เพิ่มขึ้น 2.02 $/bbl หรือ 1,240 ล ้

านบาท จาก Operation 990 ล ้ านบาท, Commercial 110 ล ้ านบาท และ Procurement & Corporate 140 ล ้ านบาท (มีผลต่อ GIM 1.82 $/bbl 1,119 ล ้ านบาท จาก Operation และ Commercial)

  • Stock Loss & Hedging Loss+ LCM -1.94 $/bbl (-1,178 ล ้

านบาท) ลดลง -4.36 $/bbl (-2,599 ล ้ านบาท)

  • Selling & OPEX เพิ่มขึ้น 291 ล ้

านบาท ส่วนใหญ่เพิ่มขึ้นจากค่าใช ้ จ่ายพนักงาน เงินบริจาคให ้ สถาบันวิทยสิริเมธีและ ร.ร.ก าเนิดวิทย์ และค่าที่ปรึกษา

  • ภาษีเงินได ้

ลดลง 656 ล ้ านบาท จากก าไรสุทธิที่ลดลง 2,478 ล ้ านบาท

  • อื่นๆ เพิ่มขึ้น ส่วนใหญ่จากค่าเสื่อมราคา และต ้

นทุนทางการเงิน โดยมีรายได ้ อื่น และก าไรจากเงินลงทุนเพิ่มขึ้น อัตราแลกเปลี่ยน (THB/USD) ณ วันที่ ถัวเฉลี่ย 30 มิ.ย.59 = 35.34 2Q/59 = 35.45 30 มิ.ย.60 = 34.15 2Q/60 = 34.47 ราคาน ้ามันดิบดูไบเฉลี่ย 2Q/59 = 43.18 $/bbl 2Q/60 = 49.77 $/bbl

3,706

454 1,444 1,240 2,599 291 29 656 523

1,228

Sales Qty.(Exclude PTTGC) 2/59 = 16.36 Mbbl 2/60 = 17.31 Mbbl 2/59 = 433 2/60 = 1,673 2/59 = 1,421 2/60 = (1,178) 2/59 = (3,495) 2/60 = (3,786) 2/59 = 23 2/60 = 52
  • MKT. GIM (Exclude
Everest) 2/59 = 7,504 2/60 = 6,756 (Deduct Volume 454) Depre. 538 Fin exp. 315 O ther Rev. 117
  • Invest. Gain
62

Stock Loss & Hedging +LCM Others

2/59 = (874) 2/60 = (191)

Tax Income

slide-52
SLIDE 52

52

สะสม 6 เดือน/60 มีก าไรสุทธิ 3,594 ล้านบาท เทียบกับปีก่อน ลดลง 3,126 ล้านบาท

  • ปริมาณขาย (ไม่รวม PTTGC) 28.37 Mbbl ลดลงจาก 1H59 4.22 Mbbl คิดเป็นร้อยละ 13
  • Market GIM อยู่ที่ 14.33 $/bbl เพิ่มขึ้น 0.79 $/bbl โดยค่าเงินบาทแข็งค่าขึ้นจาก 35.64 บาท/$ (Avg.1H59)

เป็น 34.88 บาท/$ (Avg. 1H60) ในขณะที่ส่วนต่างราคาลดลง 0.76 $/bbl

  • ก าไรจากโครงการ Everest เพิ่มขึ้น 1.84 $/bbl หรือ 1,678 ล ้

านบาท จาก Operation 1,456 ล ้ านบาท, และ Procurement & Corporate 229 ล ้ านบาท ในขณะที่ลดลงจาก Commercial 7 ล ้ านบาท (มีผลต่อ GIM 1.55 $/bbl, 1,441 ล ้ านบาท จาก Operation และ Commercial)

  • Stock Gain & Hedging Loss+LCM
  • 0.20 $/bbl (-203 ล ้

านบาท) เพิ่มขึ้น -0.02 $/bbl (+8 ล ้ านบาท)

  • Selling & OPEX เพิ่มขึ้น 544 ล ้

านบาท จากค่าประกันภัย ในขณะที่ค่าที่ปรึกษา และ Corporate Image เพิ่มขึ้น

  • ภาษีเงินได ้

เพิ่มขึ้น เนื่องจากสะสม 6 เดือน/59 บันทึก Deferred Tax Asset 1,021 ล ้ านบาท จากขาดทุนสะสม คงเหลือของปี 58 821 ล ้ านบาท และขาดทุนจากการตัดจ าหน่ายเงินลงทุน RTT 200 ล ้ านบาท

  • อื่นๆ เพิ่มขึ้นจากต ้

นทุนทางการเงิน และค่าเสื่อมราคา โดยมีก าไรจากการกลับรายการด ้ อยค่าในกลุ่ม IP และก าไรจากเงินลงทุนเพิ่มขึ้น

อัตราแลกเปลี่ยน (THB/USD) ณ วันที่ ถัวเฉลี่ย 30 มิ.ย.59 35.34 1H59 = 35.64 30 มิ.ย.60 34.15 1H60 = 34.88 ราคาน ้ามันดิบดูไบเฉลี่ย 1H59 = 36.80 $/bbl 1H60 = 51.44 $/bbl

6,720

2,036 1,595 1,678 8 544 226 288 575

3,594

Net Profit 1H59 Net Profit 1H60 Volume Decrease Margin Decrease Stock Gain & Hedging Loss +LCM Others Everest Project

  • FX. Gain

Selling Exp. + OPEX Tax

Sales Qty.(Exclude PTTGC) 1H59 = 32.59 Mbbl 1H60 = 28.37 Mbbl
  • MKT. GIM (Exclude
Everest) 1H59 = 15,632 1H60 = 12,001 (Deduct Volume 2,036) 1H59 = 676 1H60 = 2,354 1H59 = (211) 1H60 = (203) 1H59 = (6,745) 1H60 = (7,289) 1H59 = 361 1H60 = 587 1H59 = (311) 1H60 = (599) Depre. 260 Fin exp. 661 Impairment 238
  • Invest. Gain
190

หน่วย : ล ้ านบาท

slide-53
SLIDE 53

53

Lower of Tax in 2Q17

Tax Rate 2Q17 2Q16 1Q17 2Q17 2Q16 1Q17 Non-BOI 20% 946 4,402 2,117 189

  • 880
  • 423
  • BOI

0% 471 160 662

  • Diff. between Acct & Tax

Profit 2

  • 33

15 Deferred Tax

  • Total

1,417 4,562 2,778 191

  • 847
  • 408
  • Effective tax rate
  • 13%
  • 19%
  • 15%

EBT TAX Unit: MB

slide-54
SLIDE 54

54

Gain/(Loss) from investment

Unit: MB Gain/(Loss) from investment 2Q17 2Q16 1Q17 QoQ YoY 1H17 1H16 YoY UCHA 25% 26 24

  • 81

56

  • 50

107 101

  • 207

IRPC Clean Power 49% 42 47 13 29 5

  • 55

88 33

  • PCC

(จดทะเบียนเลิก 3.7.17) 50% 0.4

  • 2

1 1

  • 3
  • 2

2

  • PTTES

20% 1

  • 0.3
  • 1
  • 1
  • 2
  • 1

3

  • Dividend Received

51 31 2 49 20 53 31 22 SUM 117

55

95 22 62 212 21 191

Total 117 55 95 22 62 212 22 191

Take Equity

slide-55
SLIDE 55

55

2Q17 Hedging

Unit: MB M.USD MB M.USD MB FUEL USE 9

  • 311
  • 13
  • 437
  • MOPS DUBAI_PETROCHEMICAL

1

  • 1
  • MOPS HSFO 180 CST-DUBAI

10 0.8

  • 28
  • Total

9

  • 300
  • 14
  • 466
  • 34.95

34.30 1Q17 2Q17

slide-56
SLIDE 56
  • 0.7
  • 1.3
  • 2.1
  • 1.2
  • 1.3
  • 1.0

6.3 6.4 6.1 4.5 3.1 3.7 3.1 2.4 1.7 2.5 2.5 2.7

  • 2

2 6 10 14 18 22 26

  • 10

10 30 50 70 90 110

1Q14 2Q14 3Q14 4Q14 1Q15 2Q15 3Q15 4Q15 1Q16 2Q16 3Q16 4Q16 USD/bbl USD/bbl

Hedging (RHS) Fuel Use (RHS) Dubai

Step 1 : Fuel Use

Hedge at $98 in 1Q14

Settlement in 3Q15-4Q15

  • Vol. 216 Kbbl/month

Fuel Use Hedge vs gain/loss from Physical Fuel Use

3.8 3.8 3.8 3.8 3.8 3.8

  • Max. net

physical & hedge Fuel Use at $3.8/bbl 52

2015 = -1,160 MB 2016 = -3,304 MB Loss from Fuel Use Hedge

Dubai ($/bbl)

  • Forward Dubai

Step 2 : Restructure#1

at $70 in 1Q15

Settlement in 3Q15-4Q16

  • Vol. 382 Kbbl/month

Step 3 : Restructure#2

at $60 in 3Q15

Settlement in 3Q15-4Q17

  • Vol. 382 Kbbl/month

4Q17

slide-57
SLIDE 57

1H17 Cash Flow Statement

1H16 1H17

Operating

3,868 6,879 EBITDA 9,859 7,255 Changes in assets/liabilities (5,991) (376)

Unit : MB

Financing

(1,374) 985 Drawdown/(Repayment) of ST/LT Loan/Bond 4,348 7,143 Interest / Dividend paid (5,722) (6,158) Free Cash Flow (856) (846)

1H16 1H17

Investing

(4,724) (7,725) CAPEX (PP&E, Intangible asset) (4,724) (7,725) Other investments

  • Net Increase /(Decrease) in Cash

(2,230) 139 Beginning Cash 3,576 2,042 Ending Cash 1,346 2,181

57

slide-58
SLIDE 58

58

Key milestone of UHV

  • UHV value added
  • Flexibility of crude selection
  • Utility cost from cracking

heavy crude molecule

  • CAPEX 1,390 MB
  • COD : ~ end 2018 &1H19
  • IRR = 36%

GIM 0.3$/bbl Catalyst Cooler Feed adj. & Reformulate Catalyst

  • 21% - 23% Propylene Yield
  • Mitigation Plan: Lighter feedstock

and reformulated Catalyst

  • Time: ~ 6 months
  • GIM 0.3 – 0.4 $/bbl

CAPEX : ~ $ 1.1 bn COD : Jul 2016 GIM 1.5-2.0 $/bbl

  • COD : July 2016
  • 2016 Util. rate : 43%
  • 2017 Product Yield :

18% Propylene Yield

  • GIM 0.3 - 0.4 $/bbl

(only short term)

Gasoline Maximization

  • Increase UHV benefit
  • Maximize Gasoline Yield
  • Reduce Thailand import
  • CAPEX 1,100 MB
  • COD : ~ end 2017
  • IRR = 81%
  • GIM 0.4$/bbl

2017 2018 Gasoline Maximization Project

UHV Project Catalyst Cooler Project

2016

slide-59
SLIDE 59

9% 9% 9% 8% 12% 11% 26% 20% 16% 14% 23% 22% 5% 5% 5% 6% 60% 60% 40% 40% Feed after Catalyst reformed Feed +Max Gasoline Gasoline Benzene Rich 10% 12% 11% 31% 15% 18% 3% 60% 40% Feed Actual LSWR/VGO 9% 9% 12% 26% 16% 23% 5% 100% Feed Design

59

Key milestone of UHV

2017 2018

Catalyst Cooler

  • UHV value added
  • Flexibility of crude selection
  • Utility cost from cracking

heavy crude molecule

  • CAPEX 1,390 MB
  • COD : ~ end 2018 &1H19
  • GIM 0.3$/bbl

2016

Feed adj. & Reformulate Catalyst

  • 21% - 23% Propylene Yield
  • Mitigation Plan: Lighter feedstock

and reformulated Catalyst

  • Time: ~ 6 months
  • GIM 0.3 $/bbl

CAPEX : ~ $ 1.1 bn COD : Jul 2016 GIM 1.5-2.0 $/bbl

Assumption : spread propylene
  • ver fuel oil ~ 500-600 $/bbl
  • COD : July 2016
  • 2016 Util. rate : 43%
  • 2017 Product Yield :

18% Propylene Yield

  • GIM 0.3 $/bbl

(only short term)

Gasoline Maximization

  • Increase UHV benefit
  • Maximize Gasoline Yield
  • Reduce Thailand import
  • CAPEX 1,100 MB
  • COD : ~ end 2017
  • GIM 0.4$/bbl

9% 9% 12% 26% 16% 23% 5% 100% Feed Design HS-ATB Ethylene Proylene C3,C4 HCN/LCN LCO FO / FG Internal use & Fuel Loss

Current

Use lighter feed

UHV Yield

Reformulate Catalyst Gasoline Maximization Catalyst Cooler

slide-60
SLIDE 60

60

Power of Growth :

EVEREST Forever (E4E) Program for Sustaining Performance

slide-61
SLIDE 61

ETP Revamp Project

Ethylene 150 -200 KTA

Naphtha , LPG 400 - 500 KTA

Px Project (new)

Propylene 80 - 100 KTA Butadiene 20 - 30 KTA Paraxylene 900 – 1,000 KTA Benzene 200 - 250 KTA Other Products 100 -120 KTA

Available Feedstock

HN ,HCN , MX ,Tol

1,200-1,300 KTA

Power of Growth :

Project under study: Beyond Everest

Pygas 60 KTA Raffinate ~ 90 KTA LPG ~10 KTA

Total 1,200-1,370 KTA Total 250 - 330 KTA

Existing + UHV : Petrochem. Yield 15 % After “Beyond Everest”: Petrochem. Yield 28-30%

61

2Q2022 COD 1Q2017 Feasibility study and Technology selection 3Q2017 PMC/Basic Engineer Package/Feed ITB 3Q2018 EPC Bidding 2Q2019 Construction

2022 2018 2017 2019

CAPEX: $1.3bn - $1.6 bn IRR : 13% - 15%

slide-62
SLIDE 62

2018+ 2009 - 2017

62

Smart Operation (AI)

INCIDENT

Management ZA ZA KID ZA ZA RUP RUP

Petro troSIM SIM ProSt Stre ream

W M S

PIMS-AO AO

2.0

TAS

Power

  • f

Digital

IR IRPC C 4.0

“ IRPC 4.0” Enhance Competitiveness by Digitization

Power of Digital:

“ IRPC 4.0” Enhance Competitiveness by Digitization

slide-63
SLIDE 63

63

Power of People:

IRPC New DNA

NEW DN NEW DNA

Individual Ownership

คิดและท าเหมือนเจ้าของ

Result-Oriented

มุ่งผลลัพธ์

Promise and Deliver

รักษาสัญญา

Continuous Improvement

พัฒนาต่อเนื่อง

Do Things Together

ท างานร่วมกันเพื่อผลลัพธ์ที่ดีกว่า

No Bias

จริงใจสื่อสารตรงไปตรงมา

Actively Solve The Problem

แก้ไขปัญหาเชิงรุก

Following orders Process-oriented Promise but delay Business as usual Silo-based Biased reward Too many commentators

slide-64
SLIDE 64

100 200 300 400 500 600 700 800

2012 2013 2014 2015 2016 2017F 2018F 2019F 2020F

Electricity 240 MW 64

IRPC Clean Power Company Limited

Unit : MB

Customers

60 MW 180 MW 25-year contract 27-year contract

Construction period

GPSC 51%

IRPC 49%

Shareholding CP Phase II CP Phase I

Revenue

COD (Phase I) : Nov15 Capacity Electricity : 45 MW Steam : 170 T/hr

COD (Phase II) : 4Q17 Company IRPC - CP Type SPP Cogeneration Capacity

  • Electricity 240 MW
  • Steam 300 T/h

Location IRPC Industrial Zone, Rayong Land size 118 Rai Investment 13,600 MB

To contribute ~ 300 MB per yr NI to IRPC