1. PPT On
ONGC and Imperial Energy
Presented
By-
Dhanna
Kumud
Shreeya

2. Introduction
The Oil and Natural Gas Corporation Limited (ONGC) was the
largest oil exploration and production (E&P) company in India.
The company enjoyed a dominant position in the country's hydrocarbon sector
with 84% market share of crude oil & gas production.
Around 57% petroleum exploration licenses in India for over 5,88,000 sq. km
belonged to ONGC.
ONGC's major products included petroleum, crude natural gas, liquefied
petroleum gas (LPG), kerosene and petrochemical feedstock.

3. Intro. Cont.
• The company was the first to achieve Rs 100 bn net profits in the
Indian corporate history.
• For the fiscal year ended 2002-03, the company reported gross
revenues of Rs 353.872 bn and net profit of Rs 105.293 bn.
• With market capitalization of US$ 15 bn, ONGC was ranked 260 in
Business Week's Global 1000 list of the world's top companies by
market value, for 2003-04.
• Since the mid 1990s, ONGC had faced the problem of declining crude
oil and gas production.

4. Continues…..
Company made efforts to consolidate its position in the
business by acquiring foreign oil equity through its wholly
owned subsidiary, ONGC Videsh Limited (OVL).
OVL was formed to help ONGC secure a strong foothold in
the international oil market.
With the acquisition of Mangalore Refinery and
Petrochemicals Limited (MRPL), ONGC became the first
integrated oil company in India.

5. IMPERIAL ENERGY
• January 2009
• Acquisition deal
• It is Canada's second-biggest integrated oil company
• It
• ONGC-Imperial Energy:$2.8billion

6. Continues…….
• ONGC paid 880 per share to the shareholders of Imperial
energy
• ONGC wanted to tap the Siberian market
• Founded - London, Ontario, Canada (1880)

7. Imperial Oil CEO Bruce March

8. IMPERIAL ENERGY
• Head office of Imperial Energy is located
Alberta, Canada
• Company is run by skilled management team with
working experience in more than 18 countries.

9. • Executives and specialists of the company ensure successful
implementation of advanced technologies, project and
corporate management.

10. IMPERIAL ENERGY
• Imperial Energy is a modern company focusing on efficient
oil field development and long-term oil production growth.
• Scope of activities and core assets of the company are
clustered in the North and West part of Tomsk region

11. ONGC to acquire Imperial Energy
• Oil & Natural Gas Corp of India has agreed to buy UK- listed
Imperial Energy for $2.6bn.
• It was acquired in January 2009.
• It is most expensive acquisition to tap the UK based
company.

12. Motives Of the Merger
They want to increase their market share, spread their costs and
risks, become more international and also for the need to transform
their corporate identity.
India's explorers have been outbid by Chinese rivals as the two most
populous nations compete for energy assets globally.
The South Asian nation is looking to invest in oil projects in Russia,
Kazakhstan, Iran and Africa as the government expects economic
growth to accelerate to as much as 10 percent by 2012.

13. Continues……..
• It is first acquisition of a foreign exploration & production
company with significant assets.
• ONGC has 6.8 billion barrels of oil equivalent in reserves.

14. After acquisition
• The price dipped sharply.
• Their oil output was estimated at 80,000 bpd at the time of
purchase but now reduced to 15,000 bpd

15. SWOT Analysis
Strength
• Growing Demographics
• Hard Industry for competitor to enter
• Strong Infrastructure

16. Weaknesses
• Ever changing laws

17. Opportunities
 Alternative fuels before competitor.
 Expanding into more areas.

18. Threat
• Threat of alternative fuels

19. THANK
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